Anyone up for this? if so here are some cost focus hints to look for 1) state of the art or brand new manufacturing facility 2)It is attempting to be the cost leader in the industry by positioning its stores in convenient locations in a limited number of states so that it is readily accessible to its core customers.
The word ‘niche’ -> differentation focus
Whatever you think the answer is, it never is. Thank me in August.
focus - limited geographical area differentiation - limited range of products and through its target market comprised of large distributors who service several specific industrial sectors.
3_letters Wrote: ------------------------------------------------------- > Whatever you think the answer is, it never is. > > Thank me in August. its funny cus its true
cost - modernizing and upgrading its main production facilities.
‘brand’,‘segment’,‘target’,‘high quality’ --> differentiation
focus - target market is “narrow”----narrow is defined as 1 group to the exclusion of all others btw, this is why on Mock #1 the answer was just “differentiation”, cause Hospitals only make up 75% of the customer base (my colleague took an entire class on just Porter’s 5, she walked me thru it) also “attractive industry” = can manipulate either costs or prices enough so have high PM
differentiation - The method of delivery for the product.
Only one cost leader usually in the market.
maile Wrote: ------------------------------------------------------- > focus - target market is “narrow”----narrow is > defined as 1 group to the exclusion of all others > > btw, this is why on Mock #1 the answer was just > “differentiation”, cause Hospitals only make up > 75% of the customer base > > (my colleague took an entire class on just > Porter’s 5, she walked me thru it) > > also > > “attractive industry” = can manipulate either > costs or prices enough so have high PM maile, can you expand on the Mock question. I would have answered “differentiation focus” but since it was not an option I went for “focus”. why is it “differentation”? Thanks
maile, how big a market share you need to have to be a focus? 100%? 90%, if so is that differentiation not focus any more?
differentiation - marketing approaches
Red Bulls and Monster are differentiators or diff focus? Diff I guess there are other energy drinks.
AAAAAAAAAAHHHHHHHHHHHHHHHHHHHHH IM NOT A MANAGEMENT CONSULTANT DAMN I HATE THIS ISH
Also, Is it fair to say that if 1 of Porter’s competitive forces is not met, (e.g. entry barriers are low, or rivalry among competitors is high) then the industry is not attractive???
Where does this Porter guy live? I want to tell him the truth.
I have similar question. Here is a few more: How to tell if an industry is attractive? How to tell if a company is well positioned in the industry? Buyer power. Supplier power. Product segmentation. When it will increase or decline?
over05 Wrote: ------------------------------------------------------- > maile, how big a market share you need to have to > be a focus? 100%? 90%, if so is that > differentiation not focus any more? sorry for the delay, i was studying! for a focus company, my colleague said you would look for the words that imply “exclusive”. The target market has to be narrow enough that the company can devote all their energies into supplying that one market AND be able to charge a premium to do so. The example she gave was that prior to getting into clothing Oakley was a focus company. so I gather that means 100% devoted to a target market @ nattyg “maile, can you expand on the Mock question. I would have answered “differentiation focus” but since it was not an option I went for “focus”. why is it “differentation”? Thanks” As per above, Narrowness of target market makes it focus, the Belle Cuisine example said the company devoted about 75% of their production to supplying hospitals. I can’t recall if it identified where the other 25% of their time went but my colleague said that gap indicates that their strategy is just to differentiate themselves from other food producers.
Good stuff maile. Any other good insights from your collegue. Didn’t even think about the %'s in the hospital example.