The Competitive Advantage of Tyson Foods

DG has a current competitive advantage within its industry that is maintains through a unique cost-efficient approach. This low-cost structure is apparent through low inventories, low advertising costs, and location of stores in rural areas. Though profitable in the short-run, DG's current advantage is not

One of Trader Joe’s competitive assets is their business model. They open small stores that give their customers a neighborhood feel. Analysts have found that the chain sells almost twice as much per square foot as its main competitor, Whole Foods (INVESTPOEDIA, 2016). This unique strategy allows consumers to view and choose more products in a given area, therefore making them more likely to find what they are searching for. This strategy is sustainable if Trader Joe’s continues to operate in this manner.

Cost leadership (Johnson et al., 2013, p194) strategy involves becoming the lowest-cost organisation in a domain of activity. In this case, NiMH battery prices were reduced to remain competitive in the market considering the fact that NiMH batteries represented the Cash Cow of the company.

Therefore, each division should be autonomous in its decision making. This, however, is not the case with our company. As a matter of fact, the corporate office is influencing and forcing divisions to make the buy and sell decisions from each other at the instructed price of 1.25 times of full production costs. To be a true profit center, the divisions should have the authority to determine and negotiate prices of their products either based on market or through internal resources to ensure profitability. In addition, to be able to ensure operational excellence, managing the costs such as production cost, administrative and selling overheads, should be a priority.

The major competitor to be outlined is Chick-Fil-A. Chick-Fil-A provides customer delight and satisfaction which is the company’s competitive advantage. Chick-Fil-A has created innovative dining experiences focused on building meaningful relationships with their consumers. Implementation of new services such as “Moms Valet’ has had positive impacts on the customer experience.

Whole Foods definitely uses human capital as a competitive advantage in multiple aspects of the company business model. Whole Foods built the foundation of their business model around quality, empowered employees. These employees are the key to the unique experience that defines the company and the source of their primary competitive advantage in the marketplace. This competitive advantage is framed around the concepts of human capital value, human capital rareness, and human capital imitability (Hitt, Miller & Colella, 2015). Whole Foods human capital value is represented by knowledgeable, capable employees empowered to champion the overall strategy of the company and make decisions at the lowest level to ensure a great product and customer experience (Hitt, Miller & Colella, 2015). Human capital rareness is demonstrated by the emphasis placed on sourcing, interviewing, and hiring practices. This ensures Whole Foods hires the unique employee that will champion the quality of their product line as well as the front-line face of the company to customers. Regarding human capital imitability, Whole Foods overall human capital focus and packaging makes a formidable task for competitors to replicate. From the overall compensation package, degree of employee input and interaction, benefits structure, bonus program, and overall company environment, Whole Foods ensures that sourcing and retention of employees provides a definite advantage (Hitt, Miller & Colella, 2015).

This paper will discuss the kroger company’s strategy and competitive advantage. It will also discuss competition and strategy from rival company Walmart. Research will show whether Kroger uses an offensive or defensive strategic approach to business practices. It will discuss mergers and acquisitions of The Kroger Company (Bethel University, 2017).

REFERENCES•www.mcdonalds.com, accessed on 18 July, 2008•www.mcdonldsindia.net, accessed on 18 July, 2008•en.wikipedia.org/wiki/McDonald's, accessed on 19 July, 2008•http://www.associatedcontent.com/article/263943/mcdonalds_strategic_marketing_mix.html?cat=4, accessed on 19 July, 2008•www.kfc.com, accessed on 25 August, 2008

6. What lessons can we draw from this case about the challenges of pursuing a cost leadership strategy?

1. What is Panera Bread’s strategy? Which of the five generic competitive strategies discussed in Chapter 5 most closely fit the competitive approach that Panera Bread is taking? What type of competitive advantage is Panera Bread trying to achieve?

In other words, customers are willing to purchase low-tech products as long as their prices are relatively low. As a result, Niche Cost Leadership seems to be the most appropriate strategy for these two segments.

Butler found some important development opportunities for AD: (1) an increase in penetration rate of AD 's CBU among the affiliates by setting up an efficient IT system for purchasing, (2) external growth opportunities in France by integration of affiliates or acquisitions of independent wholesalers, (3) expansion opportunities in Europe provided by the fragmentation of the industry, (4) low competition on acquisitions because of the lack of players able to afford a dynamic build-up strategy, (5) strong growth potential of industrial supplies segment and (6) potential of development of fleet maintenance and agreements with insurance companies. These opportunities will result in an increase in gross margins through acquisition of independent wholesalers and integration of affiliated wholesalers. Furthermore, a reduction of operation costs can be the result, because of the IT system. With the existence of an efficient IT system, the margins can be improved or the prices can be cut and these effects are even stronger with consolidation / expanding in the European market. Besides these opportunities there is an opportunity for an e-business market. Butler stated this as ‘one edge over the competitors '. Thus by expanding the business (through e-business, acquisitions, integration) and making use of the new technology systems, AD could realize significant margin improvement. These high margin improvements are expected to increase from 32.3% in 1999 to

with a number of strategic issues facing a capital-intensive, mature industry. Their product costing system was

Pizza hut is amongst the best fast food chains spread international. They offer wide varieties of pizza as well as include side dishes; salads, wings pasta, buffalo, breadsticks and garlic breads. Moreover pizza is founded in 1958 by two brothers Frank and Dan Carney in Wichita, Kansas and well-known as an American restaurant chain consist over 6000 pizza huts restaurants in the united states and have more 5600 branches in over 94 countries around the world. As the marketing strategy is based on customers centric, customers are being provided the best services, helpful services and create a pleasant atmosphere so as they come back again, as it is believes Pizza Hut make the perfect pizza with extra ordinary menu. Thus the business has adopted value chain activities to operate in a specific industry, by transforming inputs into outputs that value the customers. Customers’ value consists of concept abilities to differentiate products, lower cost and able to respond the demand of customers. Michael Porter was the first introduced the concept of value chain analysis in 1985 and this approach will develop competitive advantage.

A successful cost leadership strategy usually provides the entire firm with high efficiency, low overhead, limited perks, intolerance of waste, intensive screening of budget requests, and wide span of control efforts. However, some risks of pursuing this strategy are that competitors might imitate the strategy, thus, driving overall industry profits down; that technology breakthroughs in the industry may make the strategy ineffective; or that buyer’s interest may swing to other differentiating features besides price.