This document discusses various strategies that companies can employ for competitive advantage, including cost leadership through efficient operations and controlling costs, differentiation by offering unique valuable features, niche strategies targeting small market segments, altering industry structure, innovating new or improved products and services, growing sales, being first to market, customizing offerings, hiring top talent, and innovation. It provides details on cost leadership strategies like obtaining inexpensive materials and avoiding marginal customers.

2. Strategic Planning for Competitive
Advantage
• Strategies :
– Cost leadership
– Differentiation
– Niche strategy
– Altering the industry structure
– Creating new products and services
– Improving existing product lines and service

3. Strategic Planning for Competitive
Advantage (continued)
• Other Strategies :
– Growth in sales
– First to market
– Customizing products and services
– Hiring the best people
– Innovation

4. Cost Leadership
• Obtain inexpensive raw materials
• Create efficient operations
• Design products for manufacture
• Control overhead costs
• Avoid marginal customers
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5. Differentiation
Competitive Advantage
Advantage achieved when a firm
provides something that is unique
and valuable to buyers beyond
simply offering a lower price
than the competition.
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6. Niche Strategy
Advantage achieved when a firm
seeks to target and effectively
serve a small segment of the
market.
Chapter 2 Version 6e 6

7. Altering the industry structure

8. Creating new products and service

9. Improving existing product lines and
service

11. Growth in sale

12. First to market

13. Customizing Products and
Services

14. Hiring the best people

15. Innovation