Unit 8 Flashcards
What are the 4 sections of Ansoff’s Matrix?
Market development, product development, market penetration, diversification
What is market development?
Existing product, new market
What is market penetration?
Existing product, existing market
What is product development?
Existing market, new product
What is diversification?
New product, new market
What is strategy?
Decisions made to achieve objectives
What is strategic drift?
Strategy fails to adapt to external influences
What are the 4 parts of Porter’s Generic Strategies?
Cost leadership, cost focus, differentiation focus, differentiation
What do porter’s generic strategies assist in?
Where to strategically position a business. Cost vs Differentiation.
What is cost leadership?
Minimise cost compared to competitors.
What is differentiation?
Create unique good/service
What is cost focus and diff focus?
Focus on one of the other only
What are the first 3 sections of Bowman’s Strategic clock?
low price low value, low price, hybrid
What are the middle 3 sections of Bowman’s Strategic clock
differentiation, focus diff, risky high margins
What are the last 2 sections of Bowman’s Strategic clock
monopoly pricing, loss of market share