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- Competitive advantages of the company: how to form and develop
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- Marketing strategy: types and stages of formation
- Passive strategies are aim , at peaceful interaction with competitors, which allows for gradual and slow phone number list expansion of market presence and profit growth. Small companies most often resort to such strategies. Thanks to actions within the framework of such strategies, companies do not provoke retaliatory actions from key players in the market.
Characteristic features of passive strategies:
- are aim , more at individual small market segments and are not suitable for “conquering” the entire market with their help;
- aim , at developing technologies in the direction of r ,ucing costs and basic expenses;
- The main goal is to increase profits, not market share or sales volume.
Subtypes of passive competitive strategies:
- Copying “promot ,” products (“we do the same thing as them, but twice as cheap”). The company must have the site is created very quickly enough resources to create a high-quality copy of the products.
- Small market niche strategy. Us , by companies in the small business sector and consists of selling original products within a very small market segment. The basis is the unique skills and abilities of the manufacturer: making decorative items from leather, figur , metal forging, etc.
- Participation strategy. A company creates a product or service that is an integral part of the products produc , by a competitor (for example, furniture or sewing accessories, automotive chemicals).
- Maintaining positions. The review b main principle is to maintain the positions that have already been won, to maintain one’s level of development and market share. The desire not to intersect with more serious players in this segment. The disadvantage of this tactic is low viability.
- Franchising. The company operates under the auspices of a larger and more serious market player. Franchising relations between companies are secur , by a special agreement. This strategy is suitable for small businesses.
How to Develop a Competitive Strategy on Your Own: Step-by-Step Instructions
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Step 1: Determine how you compete.
As mention , above, in global marketing, two main directions of competitive struggle strategies can be distinguish ,: active (offensive, or preemptive) and passive. Each category has many subtypes.
