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Strategic Objective

Satisfactory Essays
Strategic
Management
The Concept of Market
Position
and
The Strategic Objectives

Objectives


The Concept of Market Position





Philip Kolter
Ries and Trout

The Strategic Objectives



Strategic Thrust
Strategic Objectives
Build
 Hold
 Niche
 Harvest
 Divest


The Concept of Market
Position
by Philip Kolter



Market Leader




Market Challenger




The firm has a relatively large share of the market, but a smaller share than the market leader.

Market Follower




The firm which has the largest share in the relevant product market.

The firm holds a market share smaller than the market leader or potential challenger; it prefers to follow rather than to attack.

Market Nicher


A smaller firm which targets segments
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and R. Singh (1981) Marketing Warfare in the 1980s, Journal of Business Strategy, Winter, 30-41.

Strategic Objectives:
Strategic Objectives - Hold


Position defense




Flanking defense




The company identifies its points of weakness and guards against attacks upon them by competitors.

Pre-emptive defense




The company continues to do what it is already doing but does it better.

The company launches an attack on a competitor before the competitor attacks it.

Counter-offensive defense


The company strikes back aggressively against any competitor’s attack.

Strategic Objectives:
Strategic Objectives - Hold


Mobile defense




The company increases it strength by entering new geographic territories and/or new market segments, and by diversifying into other businesses.

Strategic withdrawal


The company recognizes that it had a weakness which it cannot properly defend and deliberately chooses to move out of that product-market, using its resources in a more beneficial way.

Strategic Objectives:
Strategic Objectives - Niche


Niche Objectives
A company may decide to pursue a a small market segment or even a segment within a segment in order to avoid competition with
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