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The business organizations are run on various long and short term strategies of various types.

In order to manage any sort of business, irrespective of its nature, size and scope, it is necessary for the management of the organization to outline and formulate sophisticated strategies. These help the organizations move further and direct them to achieve their mission and accomplish their goals.

Competitive Strategies The organizations these days are attempting their best to attain the competitive advantage through the applications of various competitive strategies in the corporate sector. The ultimate purpose of these strategies pertain to the anticipation of competitors movements and counter movements, and then, taking initiatives to work for the prevention from their plans. This competitive strategy is made effective by many organizations through an entire process. This includes identifying the competitors and their weaknesses and strengths at the initial stage. Then, the organization needs to understand and translate the opportunities and threats prevailing in the market, with the viewpoints of its competitors. The proceedings of all the competitors have to be determined and the positioning strategies and the purchase decision behavior of the customers is to be compared. Once this is done, the organizations have to formulate the positioning strategies and, while doing so, they need to look for the potential customer demand and analyze the SWOT implications with the opportunities. In response to all these efforts, the competitive strategies have to be built in order to address the attainment of competitive strategies. In order to obtain the competitive advantage, flexibility and resilience, the organizations are required to direct their vision towards the cost and production strategies so that a broader horizon

by them can be observed. These strategies include cost leadership strategy and product differentiation strategy. In the presnt era of modernization, advancements, and globalization, both of these strategies have helped the business lead their industries and compete with the tough rivals already present in the markets.

Porters Generic Strategy Framework A firm positions itself in the industry through leveraging its strengths and capabilities amongst its rivals. Following his work analyzing the competitive forces in an industry, Porter (1980) had established a structured framework which discussed three generic strategies. They included cost leadership, product differentiation and focus which were to be integrated by the organization in order to achieve the competitive advantage. The main strategy in the focus strategy which centers on a constricted section and inside that section, this strategy seeks to accomplish either differentiation or cost advantage. He considered that the major factor contributing towards the performance of the organization is the incorporation and the acceptance of competitive advantage in competitive markets. The organization which has been finally competing in the market with the help of cost leadership or differentiation strategy will render the firms with the power to attain a competitive advantage and surpass and outmatch other companies in the same industry.

Figure 1: Porters Generic Strategies

Porter spoke of firms to hold a unique position in order to have a competitive advantage. Only through one of this the unique positions can a firm have a competitive advantage, either to be a low cost producer or be a differentiated product/service manufacturer in other to give value to buyers (Bowman, 1990, Joyce & Woods 1996). y y y Cost leadership strategy (low cost) Differentiation strategy (non price value) Focus

Cost Leadership Strategy The concept of cost leadership strategy has been playing a significant role in granting competitive advantage to the organization in the industry. This type of strategy accentuates upon the minimization of costs mainly due to the effectiveness and efficiency of operations. The objective of the application of cost leadership strategy is to obtain the position of the lowest-cost producer in the industry and establish its competitive advantage with the help of cost advantages. The major focus of the strategy of cost leadership is to manufacture the standardized products in large quantities and availing the benefits of the economies of scale. The product manufactured through this kind of process is usually a fundamental no-frills product, which might offer to its customers little or no differentiation and is generally produced at the relatively lower costs of production. These products are made available to the customers at mass levels. In order to maintain and manage this strategy, the organization requires an uninterrupted hunt for the decline in costs in all the business contexts. Moreover, typically, a strategy of cost leadership

implies an expertise of a relatively higher level in the process of production and engineering to design for effective constructing and larger amounts of investments of capital in the production assets. Cost leadership strategy is the decreasing the cost of production and creating and maintaining efficiency in the organization using reduction in price to compete with its competitors to get higher market share, differentiation strategy is where firm sets out to meet the common needs of buyers in a unique way while a focus strategy is where a segment of buyers are targeted with a product or service that is tailored to their needs which are relatively unusual (Joyce & Woods 1996). Cost leadership strategy the creation of products or services with a standard quality but with a cost lower than the industrial average cost to earn a superior performance, Differentiation strategy is a unique way of giving value to customer,Focus strategy is the ability of a manufacturer to be able to limit its production design to meet a specific segment or selection in an industry and giving a superior value to the needs of that segment better than the broader targeted competitors (Bowman, 1990).

Sustainable Competitive Advantage For the organizations aiming to stay competitive and in a better position in the long run, it is is insufficient to have gained a mere advantage over its competitors in the market (DAveni, 1994). There are various smeans and different strategies through which the firms in an industry are able to achieve better performance. But, in order to continue the retention of superior performance in the long run relies upon the ability of the company to affirm and maintain the

gud performance in its future functioning. Many firms may be able to gain the competitive advantage in the industry but not all of them bear the capability to keep this competitiveness nourished and well-managed in the long run. Hence, it becomes essential for the firms in the area of strategic management to understand, interpret and then translate the concept of the sources gained to manage the competitive advantage in the industry (Rumelt, 1974; Porter, 1985; Barney,1991). There are many studies which have been conducted to discuss the particular resources and skills which contribute to the maintained and confirmed competitive advantage of the company. Regarding the Resource Based View (RBV) of the firms, Barney (1991) presented the contention involving the fact that the sustained competitive advantage is not attained by all the firm resources; these are only those resources of the organization which are valuable, not easily substitutable, rare, inimitable and necessarily hold the possibility to attain sustainability in the industry. Similarly, it is pointed out by Peteraf (1993) that the resources which are inimitable limit competition through their quality of being superior and improperly substitutable. These resources are fundamental to corroborating performance and operations. Just like this, Day and Wensley (1988) had also conducted studies which revolve around the two unconditional sources which aid in producing maintained competitive advantage. The concept of superior skills, is referred to the distinguishable potentialities of the labour force which are superior when equated to those which the competitors possess. Ghemawat (1986), in his studies, has lived on the more particular features which contribute to supported superior performance. it has been noted by Ghemawat (1986) and Grant (1991) that the sustainability of a competitive advantage would depend on the ability of competitors to imitate the source of competitive advantage.

It was also noted by Ghemawat (1986) that the delay in the reaction time to simulate a root of competitive advantage plays a vital part in keeping up a competitive advantage. He put forward the argument mentioning two different sorts of competitive advantage. One was the type of competitive advantage through lower pricing which could be imitated quickly and with ease; while, the other was a competitive advantage which was established through the non price competition. Porter (1985, 1996) defines the sustainable competitive advantage as the one possessing profitability in the above average ratio for an extensive period. He was the first person to introduce the idea of strategic positioning with a view to create a valuable and distinct place through various activities. It was also noted by him that the firms struggle to attain the sustainable competitive advantages by upholding their distinct and unique characteristics. According to him the organizations attain the concept of sustainable competitive advantage through giving good performance continuously and outstripping the competitors. This needs to discuss the ways of crating the difference and thus the generic framework cab be introduced through the creation of value. Hooley et al (2008), Marketing Strategy and Competitive Positioning 4th Ed Porter the guru of strategy (1980, 1985) identified that the success of any organization relies on its strategy adopted either via cost leadership or differentiation. The goal of competitive industry survivalist simple: to build the best possible assumptions base about the future and thereby develop the prescience need to proactively shape industry evolution (Hamel and Prahalad, 1994, p. 79). Porter (1980), states to gain competitive advantage over competitors, companies will have to look into its internal advantages as well as its external advantages.

Organization objectives can only be achieve if it goes through a successive strategy, which in return gives profit, revenue, and market share. Strategy can be referred to as a map, blue print or what give guidance, direction or a course of action into the future that enable movement in a particular pattern from a particular stage to the next (Mintzberg et al. 2009). Drucker(1994), stated a universal theory of the business, which suggested strategy to be a new business theory built around Organization to be as blueprint for management and a template for executive action and business development. He assumes all Organizations operate on a framework, which serves as guides, and it aids as the backbone to business sustainability and profitability. Ohame (1982) understands strategy as the ability to realize the reality of possible futures; business strategy is technical innovativeness and risk-taking in relation to investment made on research and development. He identified strategy A strategy is a plan for achieving objectives through the deployment of scarce resources in the face of intelligent competition. Webster (1991) sees it as an assumption/intention helps form the pathways for the business that guides the organizations actions, but not all intention are fully realized as a result of an emergent strategy. All plans are based on assumptions, they maybe assumptions about resource availability, or the capacity of the organization to adapt existing resources or coordinate the resource requirements of a new strategy, these assumptions may also be to do with the environment that a market will grow, that funds can be raised or that suppliers will deliver on time (Johnson and Scholes, 1998, p. 332). Strategies are purely deliberate (no learning) while few are purely emergent (no control) Mintzberg et al. 2009. Competitive strategy is the aspect of the strategy that is concerned on how to do better than

your competitors, the art of creating or exploiting those advantage (superior resources, superior skills or superior position) that are most telling, enduring and most difficult to duplicate or delivering equivalent customer value to target customers relative to your competitors but at lower cost (Grundy,2003). There are many numbers of strategic analysis concepts and techniques, which can give an edge or a competitive advantage to all organizations. It just has to do with which is best suitable to a particular organization to give it is best competitive advantage over it competitors.

Porters Five Force Model Dr. Michael Porter of Harvard University had developed the Five Forces Model which serves as the structure for observing and examining the competition that exceeds the technology, industries and the management approaches. The basic principles of the competition exceed the particular ways in which the individual companies go about competing (i.e. Strengths Weaknesses-Opportunities-Threats (SWOT) analysis; the 4Ps of marketing: product, price, place, promotion). The underpinning of this framework is the analysis of the five competitive forces acting upon an industry and their strategic implication. These are some competitive strategies out of many which are very effective such as: y y y y Industrial structure model and competitive strategy Strategic position and Generic strategy for competitive advantage Resource base strategy Blue ocean strategy

Many scholars have discussed about the famous Porter model (five competitive strategy), which involves organization five forces that influence the competition of an industry. The forces include:

y y y y y

Barriers of new entrants. Bargaining power of firms suppliers Bargaining power of firms customers Threat of substitutes Threat of rivalry.

Figure 2: Porters Five Force Model The elements in the Porters five force model are described, in terms of the competitive advantage in the industry below:

Resource Based Strategy The purpose of resource base strategy is how to identify the organization resources out of all the five organization resources and skills (financial, physical, human, organizational and technological capabilities), exploiting it and competes it with the competitors skills and resources to achieve economical productive differential advantage (Hofer &Schendel, 1978).A resource competence analysis looks at what resources an organisation has or what resources or skill mapping will be identified and required by a new strategy, it comprises of physical (machines), human (skill, knowledge), financial (money) and intangible resources (goodwill). Resource base view (RBV) this model is mainly analyzing a company internal strength and weakness in other to achieve or gain a sustain competitive advantage Barney &Hesterly (2006), it focuses on firms abilities on its resources and capabilities. Resources: These are sets of the firms tangible and intangible asset used in taking strategies. Examples: teamwork (intangible asset), products (tangible). Capabilities: These are subset of firms resources (tangible and intangible asset) which enables firms to take full advantage of other resources it controls.)

Value Innovation: Blue Ocean Strategy Chan Kim and Mauborgne (2005) they identified that many companies wants to have a larger share of market so they often engages in the same strategy where both strategies counter acts each other out, they spoke of high level of rivalry in an industry turns to a red strategy thus competitors fighting for the same little profits. The best solution to this is making the competition irrelevant by creating a blue ocean (undiscovered market space). This process follows creation of a different strategy called value innovation (blue ocean strategy). Value

innovationaid in looking outside the existing market and creating a leap in value for consumer and the competition is left behind.Chan Kim and Mauborgne gave an illustration of blue ocean strategy Ford created a blue ocean by making the automobile easy to use, reliable, and priced so that the majority of Americans could afford it. Fords market share went from 9 to 61 per cent. But in 1924, it was overtaken by another strategic move, this time by General Motors. Contrary to Fords functional one-color one-car single model strategy, GM created the new market space of emotional, stylized cars with a car for every purpose and purse. Not only was the auto industrys growth and protability again catapulted to new heights, but GMs market share jumped from 20 to 50 per cent while Fords fell from 50 to 20 per cent. Their idea of best sustainability strategy is that market universe composed of two sorts of oceans red oceans and blue oceans. Red oceans represent all the industries in existence today. This is the known market space. Blue oceans denote all the industries not in existence today. To have a higher edge in the industry is to create a new particular market that does not exist in the industry (Blue Ocean), by this the creator becomes a moving target, distancing itself from potential imitators, and discouraging them in the process. The idea is to achieve the highest profit and market share over imitators for as long as possible. But, as other competitors begin to imitate your market, and the blue ocean turns red with intense competition, companies need to reach out to create a new blue ocean to break away from the competition again.