The second core strategy elements is scope of product / market. This
element is where companies compete, both consumer sector, community,
industry, geographic region and segment product.Definition coverage about company products / markets can be a source of business innovation concept if quite different from the traditional competitors. For example, Amazon.com, commanded and organized by Jeff Bezos , who was originally just a bookstore. Why is he named his company Amazon.com? because "Amazon River is the largest river in the world". said Jeff Bezos. How to stream Nill? Nill River is the longest river in the world. When compared with the volume of water Amazon River is the only tributary of the Amazon. The
Amazon contains 20% of the world's fresh water, so that Jeff Bezos has a
desire that his company would become a company that controlled the
market 20% of the world market. Amazon.com
opening E-commerce site it in July 1995, starting from the bookstore
and then extended to the compact disk (CD) and then to the auction and
now thousands of different products and different merchants. In 1996 to sell 15.7 million dollars and jumped to 600 million dollars in 1998. Amazon.com
reported that on 1 November to 23 December 2002, consumers who order
all over the world there are 56 million items so as to be the best
online store in 2002 Yahoo magazine. Now Amazon.com is a wal-mart on the internet. The key question is whether the company allows us to provide a total solution value is closer to the needs of our customers? Can we improve profitability or market share by increasing market coverage? Are there any types of consumers that are generally ignored by industrial companies that we in?
Elements of the third core strategy is the basis of differentiation. This element is how companies compete, especially how firms compete differently.
Dell Computer does not sell computers through distributors, directly to consumers but causing Dell Computer uphill.
Competitors, Compaq, as it is the market leader in PC sales, cut prices to compete with Dell. The results Dell Computer suffered a loss of $ 65 million in the first six months, causing Dell nearly bankrupt. Finally Dell dell perform different strategies with Compaq, which sells computers via the Internet or E-Commerce. Of the nearly bankrupt, in 1999 Dell finally able to sell $ 1.7 million per day through its e-commerce site. Shares of Dell rose 2000% in the past two years and finally Dell became the largest seller of PCs in the world.
Bloomberg similarly competing in a different way with competitors, Reuters and Telerate, the market leader at the time. The market leader in this industry focuses the buyer and manager of information technology, who value standardized system that makes them easier to do their jobs. Bloomberg actually see something different,with Traders targeting and Analytics, information technology the managers instead. Direct, traders and analysts is, not IT managers. The facilities provided in accordance with the requirements Bloomberg traders and analysts, which can be easily read and understand them for using financial terms that are not familiar with their ears.
Finally,less than 10 years of Bloomberg managed to become the largest provider of business information and the most profitable in the world . The key question is how the competitors try to differentiate themselves in our industry? Are there other dimensions that we can dig deeper? How can we improve in several dimensions of differentiation it? Have we cleverly seeking differentiation opportunities in any business model?Good luck and good luck in this difficult era.
Elements of the third core strategy is the basis of differentiation. This element is how companies compete, especially how firms compete differently.
Dell Computer does not sell computers through distributors, directly to consumers but causing Dell Computer uphill.
Competitors, Compaq, as it is the market leader in PC sales, cut prices to compete with Dell. The results Dell Computer suffered a loss of $ 65 million in the first six months, causing Dell nearly bankrupt. Finally Dell dell perform different strategies with Compaq, which sells computers via the Internet or E-Commerce. Of the nearly bankrupt, in 1999 Dell finally able to sell $ 1.7 million per day through its e-commerce site. Shares of Dell rose 2000% in the past two years and finally Dell became the largest seller of PCs in the world.
Bloomberg similarly competing in a different way with competitors, Reuters and Telerate, the market leader at the time. The market leader in this industry focuses the buyer and manager of information technology, who value standardized system that makes them easier to do their jobs. Bloomberg actually see something different,with Traders targeting and Analytics, information technology the managers instead. Direct, traders and analysts is, not IT managers. The facilities provided in accordance with the requirements Bloomberg traders and analysts, which can be easily read and understand them for using financial terms that are not familiar with their ears.
Finally,less than 10 years of Bloomberg managed to become the largest provider of business information and the most profitable in the world . The key question is how the competitors try to differentiate themselves in our industry? Are there other dimensions that we can dig deeper? How can we improve in several dimensions of differentiation it? Have we cleverly seeking differentiation opportunities in any business model?Good luck and good luck in this difficult era.
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