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Strategic choice: competitive strategies
Elements of competitive strategies
CSFs Key threats
No frills Finding cheaper Changes in buyer
alternatives preferences
Eliminating all waste Loss of barriers to entry
Low cost Economies of scale Larger (international?)
A focus on cost reduction rivals
Hybrid Economies of scale Loss of brand
Branding Difficult to achieve
Service levels Target for all rivals
Differentiation Innovation Being copied
Branding New technology which
differentiates
Marketing
Focused differentiation Market knowledge Recession
Unique product/service Small market size
Few barriers
Failing strategies fail because they are beaten by competitive rivals.
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