Generic differentiated Strategies used by Organization:

Organizations follow one of Porter’s three generic strategies when entering a new market:

Broad cost leadership- Broad strategies reach a large market segment.

Broad differentiation- Focused strategies target a niche market.

Focused strategy- Focused strategies concentrate on either cost leadership or differentiation.

Comparing traditional business competing on basis of price and MIS strategy:

Industry: Retail

Competing on basis of price:

The most common and most profitable digital business model is that of the traditional retailer. The traditional retailer profits by selling products and services directly to buyers at a mark-up from the actual cost.

For example, all bricks-and-mortar retailers employ this complementary business model online, and there are many online-only retailers that employ this business model. The retail strategies employed by digital retailers and physical retailers are often very different.

There are a lot of retail franchise business prospects among the greatest and most lucrative digital commercial model is that of the traditional retailer. This retailer profits can work as selling products and services straight to the buyers at a huge cost from the actual price...

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Solution Summary: The author explains Porter's three generic strategies when entering a new market: Broad cost leadership, Broad differentiation, and MIS. Traditional retailers profit by selling products and services directly to buyers.

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