The Competitive Strategy Of Titan

1090 WordsMay 31, 20175 Pages
All organizations fall into one of four different market structures; perfect competition, monopoly, monopolistic competition, and oligopoly. The market structure an organization is grouped in is based on characteristics such as competition, products, and ease of entry into the market. Powerlifting is a specialized sport with only a few companies selling the custom equipment required. Titan is one of the companies that sell powerlifting equipment. The following paragraphs will identify which market structure Titan belongs to and how that market structure compares to the others, identify three competitive strategies for Titan, evaluate the competitive strategies in Titan’s market structure, and make recommendations for how Titan can maximize…show more content…
There are many companies with slightly different products and each company focuses on marketing their own individual product. Titian also does not qualify as a monopoly. In a monopoly, one firm takes up the market and it holds many barriers for entry. Titan is one of only a few but is not the only one. In a perfect competition there are a large number of firms, selling the same product, both buyers and sellers are price takers, and there are no barriers for entry. Titan is not in perfect competition, because there are a small number of firms and the sellers set prices. Competitive Strategies No matter which market structure an organization is in they must employ competitive strategies to remain viable as a business. Titan must do better, than their rivals, in managing and innovating to maintain their competitive edge. One competitive strategy Titan might employ is an overall low-cost strategy. This strategy strives to offer the lowest prices in the market. Revamping the value chain by cutting out the middleman is one way for Titan to accomplish this differentiation (Thompson, Peteraf, Gamble, & Strickland, 2011). Another strategy Titan may use is a focused differentiation strategy. This strategy requires outcompeting rival organizations by offering customization that specifically meets customer’s needs. The third possible competitive strategy is a focused low-cost strategy. This strategy requires focusing on
Open Document