《Business-Level_Strategy》.ppt

CHAPTER 4Business-Level Strategy After reading this chapter, you should be able to: 1.Define strategy and explain business-level strategies. 2.Describe the relationship between customers and business-level strategies. √ 3.Discuss the issues firms consider when evaluating customers in terms of who, what, and how. 4.Define the integrated cost leadership/differentiation strategy and discuss its increasing importance in the 21st-century competitive Landscape. √ 5.Describe the capabilities necessary to develop competitive advantage through the cost leadership, differentiation, focused cost leadership, focused differentiation, and integrated cost leadership/differentiation business-level strategies. 6. Explain the risks associated with each of the five business-level strategies. 4.1 customers:who,what,and how Types of Business-Level Strategies A cost leadership strategy is an integrated set of actions designed to produce or deliver goods or services at the lowest cost, relative to competitors, with features that are acceptable to customers. A cost leadership strategy is an integrated set of actions designed to produce or deliver goods or services at the lowest cost, relative to competitors, with features that are acceptable to customers. A differentiation strategy is an integrated set of actions designed to produce goods or services that customers perceive as being different in ways that are important to them. A cost leadership strategy is an integrated set of actions designed to produce or deliver goods or services at the lowest cost, relative to competitors, with features that are acceptable to customers. A differentiation strategy is an integrated set of actions designed to produce goods or services that customers perceive as being different in ways that are important to them. A focus strategy is an integrated set of actions designed to produce or deliver goods and services that serve the needs of a particular competitive segment. Cost Leadership Strategy: Co