Insipid thoughts from a big mac lover. Monday, August 29, Samsung: Samsung is thus able to charge a premium price relative to its competition, as its customers recognize the value that the brand brings in terms of reliability. Samsung ability to develop next generation products and purchase raw materials at a discount is further leveraged by a streamlined manufacturing process anchored by a single core platform at the heart of each DRAM chip.
Specific strategies, such as identifying product strengths, adjusting pricing, or acquiring another business, have historically been used to get a small enterprise off the ground. Understanding these strategies, and skillfully implementing them, can help entrepreneurs achieve success.
Growth Strategy A growth strategy entails introducing new products or adding new features to existing products. Sometimes, a small company may be forced to modify or increase its product line to keep up with competitors.
Otherwise, customers may start using the new technology of a competitive company. For example, cell phone companies are constantly adding new features or discovering new technology. Cell phone companies that do not keep up with consumer demand will not stay in business very long.
A small company may also adopt a growth strategy by finding a new market for its products. Sometimes, companies find new markets for their products by accident. For example, a small consumer soap manufacturer may discover through marketing research that industrial workers like its products.
Hence, in addition to selling soap in retail stores, the company could package the soap in larger containers for factory and plant workers.
Product Differentiation Strategy Small companies will often use a product differentiation strategy when they have a competitive advantage, such as superior quality or service.
For example, a small manufacturer or air purifiers may set themselves apart from competitors with their superior engineering design. Obviously, companies use a product differentiation strategy to set themselves apart from key competitors.
However, a product differentiation strategy can also help a company build brand loyalty. Price-Skimming Strategy A price-skimming strategy involves charging high prices for a product, particularly during the introductory phase.
A small company will use a price-skimming strategy to quickly recover its production and advertising costs. However, there must be something special about the product for consumers to pay the exorbitant price.
An example would be the introduction of a new technology. A small company may be the first to introduce a new type of solar panel. Because the company is the only one selling the product, customers that really want the solar panels may pay the higher price.
One disadvantage of a price-skimming is that it tends to attract competition relatively quickly. Enterprising individuals may see the profits the company is reaping and produce their own products, provided they have the technological know-how.
Acquisition Strategy A small company with extra capital may use an acquisition strategy to gain a competitive advantage.
An acquisition strategy entails purchasing another company, or one or more of its product lines. For example, a small grocery retailer on the east coast may purchase a comparable grocery chain in the Midwest to expand its operations.The alternative I've proposed for Qualcomm of becoming an R&D IP licensing house in the ARM vein is the natural way forward for Qualcomm, given that it already has a thriving licensing business.
Growth strategies are never pursued in a vacuum, and being willing to change course in response to feedback from the market is as important as implementing a strategy in a single-minded way.
The three ways are, efficiencies, which basically means you drive down cost. The second is risk sharing, and there's kind of a nuance about risk sharing, it's reducing risk and ways that cannot be replicated by a . iiyama v Samsung and others: Court of Appeal considers the territorial limits of EU competition law If you would like to learn how Lexology can drive your content marketing strategy forward.
Mar 12, · Each week, I scan the ETF marketplace to identify the top ETF ideas that present opportunities you should be aware of for the upcoming week.
This is the second part of this week's list. Today – for investors who are watching what this indicator is doing right now – I'm going to share my three specific tips for how to invest going forward. And I'll give you my personal take on what to expect as this bull market continues.