Strategic Management and Governance
Discuss ten (10) strategies and their advantages in connection with the corporation’s goals and objectives as listed on page 14 of your text.
Business strategies poise as powerful tools for defining tactics for achieving goals. Today’s business world is highly competitive, and the continuous dynamics posit the need to evolve, adapt, and implement credible strategies for achieving long-term success and performance. Below is a discussion of ten strategies and their advantages to the corporation’s goals and objectives.
- Cross-sell more products: This describes the strategy of selling more products to the same customer. A company strives to beseech a customer into purchasing additional products, which increases the overall cart size hence impacting profitability (Bocken, Morales & Lehner, 2020). Such saves the company from incurring extra costs for acquiring more customers while adding average profitability.
- Innovation of new products: This concerns investing in research and development to invent new products. Customers pride themselves on trying out new products to achieve more satisfaction. The increase in the number of clients increases the company’s market share hence more profit margin.
- Acquisition: Such entails merging competitors to acquire a young market while gaining an advantage in a rapidly growing market. The strategy allows larger companies to compete healthily in markets where they previously had low competitive power by retaining the consumers of those products or services (Becker et al., 2019).
- Improving customer care: The satisfaction of customers is the central goal of every business. Companies implement strategies that aim to provide quality customer care through effective call centers and online support. This enhances the company’s reputation hence a higher competitive advantage.
- Product differentiation: This concerns providing unique products and services by initiating creativity. Companies should prompt the buyers to perceive their products as more valuable and worth consideration over the prevailing alternatives (Widuri & Sutanto, 2018). Consequently, this enables the company to command a higher price for the products or services, increasing the return on investments.
- Cost leadership: Cost leadership defines the act of uniquely offering a competitive price for products or services without compromising quality (Dutse & Aliyu, 2018). This enables companies to survive recessions by appealing to customers based on budgets. Besides, it prompts flexibility to attract a loftier customer base.
- Environmental scanning: This entails monitoring internal and external factors affecting a firm’s productivity. SWOT analysis is carried out by gathering, evaluating, and analyzing data to ascertain prevailing issues. The strategy helps the company position itself effectively for potential social, political, technical, and economic changes to enhance sustainability (Bocken et al., 2020).
- Business evaluation: It is a strategy to ascertain the efficiency of the implemented strategies in achieving organizational goals. The leaders assess the performance of the business in relation to those strategies while highlighting the weak ones for adjustment to increase efficiency.
- Investing in technology: Business owners invest in technology through research and development or acquiring competent employees with unique skills. This helps the company to realize the new potential to acquire new markets and improve productivity.
- Improving customer retention: The strategy concerns striving to retain the current customers by constantly improving quality to satisfy them. Businesses focus on identifying loopholes or weak points in their products or services and address them to retain these customers (Becker et al., 2019). Attracting more customers could mean a costly approach and hence retaining old ones poises as a cheaper option, saving on costs of production and maintaining high-profit margins.
Retrospectively, strategies describe the clear set of plans that outline a business’s approaches to run its errands. The paper discussed these strategies and how they enable a company to achieve its goals and objectives.
References
Widuri, R., & Sutanto, J. E., (2018). Differentiation strategy and market competition determinants of earnings management.
Becker, P., Tebes, G., Peppino, D., & Olsina, L. (2019). Strategies for achieving Business Goals that imply Functional and Non-Functional Requirements. TR 1/19, GIDIS_Web, Facultad de Ingeniería, UNLPam, April.
Bocken, N., Morales, L. S., & Lehner, M. (2020). Sufficiency business strategies in the food industry—The case of Oatly. Sustainability, 12(3), 824.
Dutse, A. H. G., & Aliyu, M. S. (2018). Cost Leadership, Market Orientation and Business Performance: An Empirical Investigation. Journal of Quantitative Methods, 2(2), 28-42.
