Is a generic strategy a stuck in the middle strategy?
Not necessarely. A Generic Strategy is simply the road a firm elects to follow: it could be a differentiation or cost strategy (or focus) or even a stuck-in-the-middle… Can anybody correct me if i’m wrong?
jlpalu is right…
i do not think a firm will deliberately choose to follow a ‘stuck-in-the-middle’ strategy. actually I don’t think it is one of the generic strategies… when a firm sets out to be a leader in one direction, lets say differention, but fails, meanwhile remains saddled with the high costs of differentiation… then it gets stuck in the middle… my two cents…
It is possible to be both a differentiator and cost leader. However no CHOOSES to be stuck in the middle. It is the result of unsuccesfully attempting both.
thepinkman Wrote: ------------------------------------------------------- > It is possible to be both a differentiator and > cost leader. However no CHOOSES to be stuck in > the middle. It is the result of unsuccesfully > attempting both. that is true. A company should focus on either being a cost leader, or a differentiator, and not both. There is only one case where both would work, and that is if the company can split its operations entirely, and each segment of the operations focus on one of the 2 strategies.
exactly…sorry i didn’t clarify that in my earlier post… you choose to be either one…there isn’t a generic strategy for being stuck in the middle…
4 generic strategies: cost leader, differentiation, focus cost leader, focus differentiation
maratikus Wrote: ------------------------------------------------------- > 4 generic strategies: cost leader, > differentiation, focus cost leader, focus > differentiation Isnt there only 2 generic strategies… Cost leader and Differentation with different scopes hummm??
chadtap Wrote: ------------------------------------------------------- > maratikus Wrote: > -------------------------------------------------- > ----- > > 4 generic strategies: cost leader, > > differentiation, focus cost leader, focus > > differentiation > > > Isnt there only 2 generic strategies… > > Cost leader and Differentation with different > scopes > > hummm?? With the scopes a total of four.
Broad: Cost leadership, Differentiator Narrow: Cost focus, Diff Focus
right…I agree… I just wanted to know is there actually 4 strategies or just 2 strategies with a broad and narrow focus?
chadtap Wrote: ------------------------------------------------------- > right…I agree… I just wanted to know is there > actually 4 strategies or just 2 strategies with a > broad and narrow focus? i think it’s just a matter of semantics.
makes sense… thanks guys