Page 43 - SBL Integrated Workbook STUDENT 2018

Strategic choice

Maintaining competitive advantage

2.1 Sustaining cost advantages

 constant focus on cost reduction

 being aggressive in price wars

 investing in technology.

2.2 Sustaining differentiation strategies

 constantly innovate

 create/reinforce barriers to entry

 improve the customer experience.

2.3 Other ideas

 lock-in customers

 exploit existing technological innovations

 sustain knowledge management.

Illustrations and further practice

Now try TYU question 2.

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