Skip to main content
UploadLanguage (EN)Support
BusinessMobileSocial MediaMarketingTechnologyArt & PhotosCareerDesignEducationPresentations & Public SpeakingGovernment & NonprofitHealthcareInternetLawLeadership & ManagementAutomotiveEngineeringSoftwareRecruiting & HRRetailSalesServicesScienceSmall Business & EntrepreneurshipFoodEnvironmentEconomy & FinanceData & AnalyticsInvestor RelationsSportsSpiritualNews & PoliticsTravelSelf ImprovementReal EstateEntertainment & HumorHealth & MedicineDevices & HardwareLifestyle
Uploaded byDivya188167
PPTX, PDF1,652 views

Strategic group mapping

Strategic group mapping is a technique for analyzing a firm's position relative to competitors in an industry. It involves grouping similar businesses that pursue similar strategies, have similar resources, and business models. The key steps are to list similar firms, subgroup them, identify important customer variables, and map strategic group positions. This analysis helps understand pricing, identify direct and indirect competitors, determine one's industry position, develop appropriate strategies like defender or prospector, and achieve competitive advantage.

Education◦
Downloaded 11 times
Course Instructor: Mr. Sanjeev Pradhan Presented by : Divya Prabha Oli MBA III Semester 1 4/6/2022
Techniques of environmental analysis 1. PESTLE 2. Industry Analysis 3. Scenario Planning 4. Strategic Group Mapping 5. External Factor Evaluation 2
Strategic Group Mapping  Strategic group- a set of business units or firms that pursue similar strategies with similar resources and have similar business models.  Strategic group mapping is a technique for looking at your firm’s position in the related sector, field or market. It is a tool for competition analysis. 3
Processes of Group Mapping  List out similar firms related to industry  Make sub-groups of similar category  Identify two major variables preferred by customers  Study the position of groups in relation to other competitors.  Develop the future strategy.  Strategy Types 4
 For example :  The restaurant industry can be divided into several strategic groups like fast food and fine dining based on the variables like preparation time , pricing , taste and service quality. 5
Strategy Types (Business Level ) 1) Analyzer : Focus on at least two different market areas, fulfill the demand gap. 2) Defender : Focus on improving efficiency , relatively stable market, seek profits and revenue. Example : KFC 3) Prospector : Focus on product innovation and market opportunities. 4) Reactors : Lack a consistent strategy , No specific approach, adopts market structure. 6
Managerial Implications 1) Understand and determine pricing policy of industry. 2) Helps to define the scope of firm’s competitors (Positioning and identification of direct and indirect customers ) 3) Helps to find out one’s position in related sector or field or market. 4) Helps to build different strategy types against competitors ( like , analyzer , defender, prospector, reactor ) 5) Helps to achieve competitive advantage. 7
8