Strategy Development and Strategy Execution †MyAssignmenthelp.com

Question: Discuss about the Strategy Development and Strategy Execution. Answer: Porters Competitive Forces Porters competitive forces shape every industry by determining the sectors weakness and strength. The first of these forces is the competition in the industry. Here, the number of competitors and products they offer is determined. A presumption is made as the larger the number, the higher the chances of the competitors being a threat as both buyers and suppliers seek attractive deals. The second force is the potential of new entrants into an industry (Tang, 2014, pp. 108). The weakening of a companys position is significant if it uses more money and time to get into a market compared to its competitor, thus affecting the companys power. The third force is the power of suppliers. When a client has over-dependence on a provider because the vendors available are few, the providers tend to hold more power. Providers of the major entertainment, goods and services than raise prices. The fourth force is the power of customers. When the number of clients is less, and each of this buyer is significant to the company, the customers then hold power and can drive prices down (Porter and William, 2016, pp.201). The fifth force is the threat of substitutes. The power of a business weakens when buyers find a substitution for the entertainment goods and services they are offering from its competitors. Generic Strategies Home entertainment business adapts generic strategies to achieve a sustainable competitive advantage over its competitors in the market (Merchant, 2014, pp.306). These policies help to provide a high value of products and prices to its customers. In the home entertainment, adapting differentiation focus as a strategy is key. Product development gives uniqueness to products when made attractive by way of integration of new features. The integrated features in goods such as the PlayStation by Sony make it stand out in the market. The production cost reduces and the profits made by the business continuity. The second generic strategy is differentiation leadership. This approach helps in market penetration, the uniqueness of home entertainment products such as the Sony branding boosts the companys market penetration and offer competition against its competitors. The company also holds marketing campaigns to enable it to penetrate the market for business to grow and increase its market sales. The third generic strategy in the home entertainment business is cost leadership that helps in market development. The company aims to be a lowest-cost producer (Spry and Lukas, 2016, pp.866). It releases its products to new markets where it is not well established and enjoy the best profits. Capital used is well utilized, and technology employed in the production process is efficient. Cost focus is the fourth strategy. Home entertainment companies concentrate on low-cost products and services they offer in a limited number of markets. While their competitors offer the goods at a higher cost. Bibliography Merchant, H., 2014, Configurations of governance structure, generic strategy, and firm size. Global Strategy Journal, 4(4), 292-309 Porter, T. and Williams, R., 2016. States, markets and regimes in global finance. Spry, A., Lukas, B. A., 2016, Brand Portfolio Architecture and Firm Performance: The Moderating Impact of Generic Strategy. In Looking Forward, Looking Back: Drawing on the Past to Shape the Future of Marketing. Pp. 866-867. Springer International Publishing. Tang, D., 2014, Introduction to Strategy Development and Strategy Execution.