Page 238 - GLOBAL STRATEGIC MARKETING

example of this is the Bionade case, which is a small German company
with a unique product offering. Many smaller organisations can adopt a

focused, differentiated strategy (Porter, 1980) to avoid competition from
larger competitors (see Figure 11.1).

Figure 11.1: Porters Generic Strategies

Uniqueness Low cost position
perceived

Broad

Industry-wide Differentiation Overall cost leadership

*** Bionade***

Target markets

Narrow Focused differentiation Focused cost

Specific leadership
segment

Adapted from Porter, M. E. (1980) Competitive Strategy: Techniques for

Analysing Industries and Competitors, The Free Press

However, in the following case on Bionade, the strategy adopted is a

clever one; that of differentiation to a broad target market.

Case: Bioande

A Brand-New Brand