Retail competition fulcrum.docVIP

 PAGE \* MERGEFORMAT 13 Retail competition fulcrum Any enterprise managers have to be on their operation and the competitive environment in which an understanding, coupled with the advantages and disadvantages of business to develop strategies. Harvard professor porter who have made the structure of competitiveness analysis porter competitive forces that affect the industry, there are five areas listed above. The companies thinking about their competitive strategy, structure and so did not dare to think about how to improve the competitiveness of enterprises. In this case to Mr. Wu Sihua professor at National Chengchi University in Taiwan referred to the amp;quot;strategy of 9 said,amp;quot; to illustrate the method to improve the competitiveness of enterprises. Mr. Wu Sihua According to porter competitive analysis model, that the market structure of the decision maker behavior, also decided that the industrial performance. Therefore, from a structural point of view, strong out of the strategy, that is - to improve competitiveness in the formation of an exclusive, is the main source of excess profits firms. As to how to improve the competitiveness of enterprises should be through the following methods: 1. The market niche that - to identify business In the market foundation for enterprise and edge in the market place. 2. Reduce the intensity of competition among the same industry - the formation of a tacit agreement with the industry to promote a diversified scope of operations, lower exit barriers, etc. ... can deliver to reduce the intensity of competition purposes. 3. To raise entry barriers - the approach are: to meet the needs of each market segment, creating economies of scale, to master key technologies. 4. Manufacturers to improve the customer’s bargaining power - to reduce the price sensitivity of customers, improve customer switching costs, improve customer satisfaction. 5. Manufacturers to improve the bargaining power of suppliers - dispers