Generic Competitive Strategies Research Articles

The Level of Importance of the Four P’s by the Customers of Shell, Petron, and Chevron Stations in General Santos City

Consumer-centric companies focus their resources on developing products and establishing strategies that satisfy customers’ needs and wants. The efforts involved in determining customers’ desires require rigorous analysis because of customers’ heterogeneity. Cost leadership, one of the three generic competitive strategies, aims to increase profit by reducing the cost of production and offering a competitively priced product. This strategy is effective in maximizing the limited resources of the company. In relation to the three generic competitive strategies, there are factors that affect customers’ decisions. The factors that affect customers’ preferences are location, brand, behavior, values, product attributes, quality, price, promotion, and perception. This study focused on the four significant factors, which are the Four Ps: product, price, place, and promotion. Respondents, who are customers of Shell, Petron, and Chevron fuel stations in General Santos City, evaluated the level of importance of the Four Ps. A sample size of 120 respondents was chosen to answer the validated questionnaires. A descriptive-quantitative research design and stratified sampling methods were applied in the study. Microsoft Excel and IBM SPSS were the software used to analyze and interpret the data. The findings indicate that the place factor and the promotion factor, among the four factors, have the highest and lowest means, respectively. According to the respondents, price information and brand are very important, since they have the highest mean in price and product factors. The analysis of the Kruskal-Wallis H Test indicates that there are no significant differences in the level of importance of the four Ps among Shell, Petron, and Chevron stations in General Santos City as evaluated by the respondents.

Recommended LNG Commercialization Strategy to Maintain Business Sustainability in the Global LNG Market: A Case Study of PPTETS

LNG supply and demand growth have steadily increased in the past 12 months, recovering from pandemic-related outages in early 2021. Supported by increased LNG supply and demand, a surge in LNG trading has been seen across the world, and there is no indication of slowing down in the near future. Those situations become the opportunity for an LNG seller who has the potential uncommitted LNG supply to be offered to the buyer. PPTETS (which is not a complete name of the company, but a real Singapore registered company), which is owned 100% by PPTET Ty (which is not a complete name of the company, but a real Japan registered company), which is a joint venture company between Pertamina and various Japanese utility & power companies, is required to anticipate that opportunity. With consideration of the dynamic changes in global LNG market development, PPTETS needs to formulate the company’s business strategy, which is intended to seize future business opportunities. The main objective of this research is to formulate a PPTETS LNG commercialization business strategy to generate profit and maintain sustainability in the global LNG market. The analysis will consider both primary and secondary data, with underlying theoretical for external factors such as PESTEL analysis and Porter’s Five Forces, while for internal factors analysis will utilize a resource-based view and VRIO. As a synthesis of the company’s internal and external analysis, SWOT analysis and TOWS matrix will then be utilized. Finally, based on the analysis and formulation that has been conducted, it could be concluded that PPTETS has the opportunity and capabilities to maintain its business sustainability by trading in the global LNG market. After considering several findings from both external and internal factors of primary and secondary data, aside from cost focus leadership as a generic competitive strategy, there are 3 (three) specific business strategies recommended to PPTETS in order to generate profit and maintain sustainability, which are (i) collaboration with Pertamina, (ii) developing PPTETS internal procedures, and (iii) further PPTETS’ business development.

Effect of Generic Competitive Strategies on the Performance of National Social Security Fund in Nairobi County, Kenya

The National Social Security Fund (NSSF) was established in 1965 by an Act of Parliament under cap 258 Laws of Kenya and serves as the first pillar of social security for Kenyan workers. The Kenyan social security sector has recently been growing at a high rate due to the inclusion of new players in social security services, which was previously solely managed by NSSF. Organizations have realized the importance of a strategic plan for shaping the vision and mission, selecting strategies to be executed and allocating resources to facilitate achieving corporate goals. A strategic plan is instrumental in ensuring that strategic goals are aligned with organizational activities with its environment, thereby providing for its continued survival, effectiveness, and improved performance. This study established the influence of strategic planning practices on the performance of the National Social Security Fund in Kenya. Every organization incorporates different strategies to gain a competitive advantage and sustain profitability. Firm performance is a major building block in strategic management. This study was aimed at evaluating the effect of generic competitive strategies on the performance of NSSF in Kenya. The study used secondary data from published financial statements of NSSF with a target population of 60 employees drawn from the 7 divisions and departments – top, middle & low-level management. The quantitative method was utilized in the analysis and interpretation of data in accordance with the research objectives and research questions. The data collected was summarized, tabulated, and analyzed quantitatively, then presented using tables, pie charts and percentages. According to the findings of the study, cost leadership strategy, differentiation strategy, focus strategy, Innovation Strategy have significant positive influence on the performance of NSSF. All the p-values were 0.05, denoting that the relationship therefore were significant. the study findings show that the four generic strategies have a positive relationship with the organizational performance. Product differentiation strategy and innovation strategy were established to be the key measures or drivers of financial performance. This was based on the strength of association, which was established by the study. Cost leadership strategy and differentiation strategy were also found to be other measures though they should not be used in isolation. The study recommended that National Social Security Fund should embrace and invest in cost leadership strategies most especially forming linkages with service providers, suppliers and other supplementary institutions since it will enable them achieve competitive advantage as compared to other organizations that are not investing in these strategies and that universities should first understand and know their motive and capability before adopting a certain competitive strategy for example market focus.

Analysis of Innovation and Performance Relationships of Companies Serving in the Information and Communication Sector

Objective. Explorer the relationship between strategic orientation, Porter’s generic competitive strategy, innovative capacity of firm, and products technical performance in the Turkish ICT —Information and Communication Technology— sector. Methodology.This study employed a quantitative research design in which 573 questionnaires applied to people who work in various ICT companies located in Turkey. The research data were examined using mediation effect and path analysis techniques. SmartPLS version 3.2 was used for the abovementioned analyses. Results. The findings revealed a positive and significant correlation between strategic orientation with the innovative capacity of firms and the products technical performance. The results also indicate that Porter’s generic competitive strategies play a mediating role in the relationships between strategic orientation, innovative capacity of firms, and products technical performance. Conclusions. The importance of integrating strategic orientation and competitive strategies in order to innovative capacity of firms or products technical performance is concluded, particularly in ICT companies.

The effect of local institutions on the competitive strategies of exporters. The case of emerging economies in Latin America

This paper analyzes the effect of local institutions and market orientation on the export performance of Latin American firms when they implement generic competitive strategies. A specific questionnaire sent to 201 executives of exporting manufacturing and service companies in Brazil, Chile, Mexico, and Peru generates the data for this research. Then, confirmatory factor analysis is used to develop the underlying multi-item constructs, and a structural equation model tests the hypotheses. The results state that local institutions, directly and indirectly, affect export performance through the marketing orientation of firms, and marketing orientation mediates the implementation of the differentiation strategy but not the cost-based leadership strategy. The findings suggest that firms with differentiation strategies benefit more from strong local institutions.

Understanding Porter’s Generic Competitive Strategies and its Effect on Perceived Business Performance: Evidence from a Credit Cooperative

The purpose of this research is to examine how Porter's generic competitive strategies specifically in terms of cost leadership strategy, differentiation strategy, and focus strategy affect the perceived business performance of a Credit Cooperative. To better understand the impact of Porter's generic strategies on Credit Cooperative performance, the research used both quantitative and qualitative research approaches. A random sample of 263 were identified and surveyed using structured questionnaire. The online survey was carried out utilizing Google Forms. The survey resulted to a total of 87 respondents, providing a 33.08% response rate. Additional information derived from three key informants of the organization were utilized for the qualitative analysis using open-ended questions. Correlation and regression analyses were utilized via IBM SPSS Statistics version 26 tool for the treatment of data. The findings show that the Credit Cooperative's perceived overall business performance was influenced by both differentiation and focus strategies, with the differentiation strategy having a positive and direct effect, while focus strategy having an inverse or negative effect on the Credit Cooperative’s overall performance. The study concludes that the Credit Cooperative can achieve higher performance by pursuing relevant competitive practices on Porter’s competitive strategies. The results of the study provides insights to the Cooperative management in choosing the most appropriate competitive strategic practices to implement. This research will add to the body of knowledge on business performance by elucidating the impact of Porter's competitive strategies on the overall performance of a credit cooperative.

CURRENT STATUS OF THE OPTICS INDUSTRY IN TURKEY AND THE USE AND APPLICATIONS OF PORTER'S MAIN STRATEGIES IN THE TURKISH OPTICS INDUSTRY

The subject of this study is to examine the competitive strategy of domestic and overseas corporal investors which form a 15% of Turkish optical industry. With the increase in number of companies entering Turkish optical sector, intensity of competition between existing and new entrants is observed. There are few studies that examining the question of whether organizations can achieve sustainable competitive advantage under severe competitive conditions. Generic on Porter’s generic competitive strategy models 8 corporate optical companies were interviewed and investigated for competitive strategies they have developed during their activities in Turkey. The updated taxonomy draft is classified under headings of cost leadership, differentiation and focus applied in the optical industry. It has been shown that organizations adopt differentiation strategies the most in order to move away from competition and increase preference by customers. It has been determined that organizations are sensitive about costs due to their negative economic experiences in past. In this countrywide study, it is seen that all three strategies are applied at similar rates. It also shows that organizations are cautious against opportunities and threats that may occur in optical sector.

Generic Competitive Strategies and New Product Development Speed of SMEs in International Markets: The Moderating Effect of Market Turbulence

Generic Competitive Strategies and New Product Development Speed of SMEs in International Markets: The Moderating Effect of Market Turbulence

Porter’s Generic Competitive Strategies, Alliance Partnerships and Firm Performance of Mobile Telephone Network Service Providers in Kenya

Purpose: The aim of the study was to investigate on focus strategy, partnership alliances and firm performance of mobile telephone network service providers in Kenya.
 Methodology: The study used positivism research philosophy and descriptive research design methodology. The target population was all the 66 mobile telephone network service providers in Kenya. Primary data was gathered through use of structured questionnaires. Descriptive statistics, correlation and regression modeling was used to aid in data analysis.
 Findings: Descriptive analysis portrayed that the 61 mobile telephone network service providers in Kenya registered had increased returns with a composite score of 3.84. Hierarchical regression results portrayed that partnership alliances moderated the relationship between focus strategy and performance of mobile telephone network service providers in Kenya as far as Equity Alliance component is concerned with (p value of .04) which is less than the critical value (.05). Franchises, Diagonal alliances, Focus Strategy, Vertical alliances, Joint Ventures, Equity alliances, and Horizontal alliances had no statistically significant moderating effect.
 Unique contribution to theory, practice and policy: Generally, firms should consider partnership alliances as a conditional factor in the relationship between focus strategy and firm performance other than treating it as a pure predictor. Further, the management of mobile telephone network service providers in Kenya should consider the extent to which individual components of partnership alliances moderate Porters’ competitive strategies to performance linkage. On the other hand, the current study is possibly the first of its kind in making distinct involvement of strategic management knowledge frontiers. This was achieved through harmonizing and endorsing the hypotheses of the three theories that while Porter’s generic differentiation strategy significantly influence performance of mobile telephone network service providers in Kenya, the moderating effect of alliance partnerships gives a more comprehensive explanation to management as to why many such firms prefer the alliance partnerships instead of an apparent increase in profitability caused by the porter’s strategic moves. That is, the Resource Based View Theory, syncretic paradigm theory and transaction cost theory have received an empirical support through this study for the theories are relevant to strategic decisions other than the Porters ones which affects the overall business objectives. Therefore, the three theories are significant to the current study since they alert managers to contrast in-house transaction costs with outdoor costs before choosing to execute inside or without. 

Brand Recognition, Interdepartmental Conflict, and Performance: An Investigation of Porter’s Differentiated Competitive Strategy Implementation in a Large Chinese Automobile Company

Due to the unique market context and consumer differences, Porter’s generic competitive strategy has often failed in China. This study examined the impacts of managerial factors on performance by using the company brand as an indicator of performance; furthermore, we discuss the management issues of Chang’an when adopting a differentiated competitive strategy. This research used a quantitative method to form a consumer cognition map and compared product brands with competitors. It also investigated the managerial factors of the case company that affected the implementation of a differentiated competitive strategy. Interviews of the managers from the case company were also conducted to provide an in-depth understanding of management issues. The results show that the case company, Chang’an, as a large state-owned automobile manufacturer, failed to generate satisfactory outcomes by implementing a differentiation strategy. The reasons for the unfavorable enterprise performance include unclear departmental role positioning, a lack of communication mechanisms, and missing evaluation mechanisms. This research offers an in-depth investigation of the application of Porter’s differentiated competitive strategy in a Chinese state-owned company (there has been little academic attention on this). Since many state-owned companies use similar management structures, the results of this research can help managers find management problems and fix them.

Effects of supplier orientation and competitive strategies on ICT firms’ performance

PurposeThe purpose of this study is to investigate the relationship between supplier orientation, which is Porter's general competitive strategy, and the market and financial performance in the Turkish Information and Communication Technologies (ICTs) sector, taking into account the problems in the supply chain during the pandemic process.Design/methodology/approachThis study used a quantitative research design where 550 questionnaires were collected from respondents operating in various ICT companies in Turkey to obtain necessary data to test the hypotheses developed for the study. Mediation effect and path analysis were used to analyze the research data. Smart PLS 3.3 version was used for all the mentioned analyzes.FindingsThe results of the analysis revealed that supplier orientation was positively and significantly related to financial and market performance. The findings of this study also showed that Porter’s generic competitive strategies have a mediator role in the relations of supplier orientation, financial and market performance.Practical implicationsThese findings contribute to the understanding of the importance of supplier orientation along with competitive strategies to increase market and financial performance in ICT companies, especially during the pandemic process. These findings provide recommendations for researchers, professionals and senior and supply chain managers to apply at their firms.Originality/valueThis is a study that adequately covers the relationship between supplier orientation, general competitive strategies and market and financial performance in the Turkish ICT sector, taking into account the pandemic process.

When Does It (Not) Pay to Be Good? Interplay Between Stakeholder and Competitive Strategies

Using the instrumental stakeholder theory lens, we examine how generic competitive strategies influence the link between stakeholder management (SM) and firm financial performance. We develop a framework that highlights the synergistic effects of a differentiation strategy on SM but also the trade-offs between a cost leadership strategy and SM in their consequences for financial performance. We test our theoretical mechanism further by distinguishing between primary and secondary stakeholders, who differ in their degree of firm specificity and instrumentality. We propose that for firms pursuing a low-cost competitive advantage, secondary SM intensifies the trade-offs between SM and financial performance when compared with primary SM, whereas both primary and secondary SM are likely to improve financial performance for differentiators. Empirical analyses using a panel data set of S&P 500 firms over a 15-year period (2005–2019) and a series of robustness tests support our predictions. Our findings highlight important boundary conditions for SM's impact on firms’ financial performance and highlight not only “when SM pays” but also “when SM may not pay.”

Generic Competitive Strategies and Organizational Performance in Manufacturing Industries in Rwanda: A Case of Sulfo Industries Ltd

The business models incur high costs, limited uniqueness of feature of products and fewer resources that present the significant negative effect on organization performance. The overall study of this research is to assess generic competitive strategies and organization performance in Rwanda. The specific objectives were to determine the effect of cost leadership strategy on performance of Sulfo Industries Ltd, to examine the effect of differentiation strategy on performance of Sulfo Industries Ltd and to assess the effect of focus strategy on performance of Sulfo Industry Ltd. In research methodology, researcher used a descriptive research in both quantitative and qualitative. The target population was 135 from which a sample of 100 respondents was selected using formula developed by Slovenes. Therefore, researcher used a simple random sampling technique and data were analyzed using Statistical Package for Social Science version21. Findings and recommendations for this research provided a clear understanding and guidance for better management of Sulfo Industries Ltd. The information collected from respondents showed that 83.2% strongly agreed that Sulfo Industry applies generic competitive strategies where low costs led to desired performance. This was also agreed or confirmed by 13(12.9) of surveyed respondents. Therefore, differentiation strategy shows the uniqueness and premium price of products. This was as strongly agreed by 37(36.6) and 81(60.4) respectively. The information collected also revealed that 64(63.4) of surveyed respondents strongly agreed that the focus strategy aims at increasing the market share in a niche market to achieve performance. This was also agreed by 33(32.7) of surveyed respondents. However, the magnitude of association is indicated by regression of 1.040, which is statistically significant as the p-value is 0.000 as < 0.05. Moreover, it is highly recommended to maintain generic competitive strategies of Porters, which play a great role on organization performance within competitive market. The industry needs to establish code of conducts, undertake training opportunities, reduce unnecessary cost and encourage quality and quantitative products all these will lead to the desired performance. Keywords: Generic Competitive Strategies, Organizational Performance, Manufacturing Industries, Sulfo Industries, Rwanda

Artch.id Competitive Strategy Analysis Based on the Theory of Five Generic Competitive Strategies

Artch.id Competitive Strategy Analysis Based on the Theory of Five Generic Competitive Strategies

Lessons on the Resource-Based View and Generic Competitive Strategies From Kinky Boots: The Musical

Kinky Boots: The Musical is a filmed version of the London West End production that tells the story of the unlikely collaboration between Charlie Price, inheritor of a struggling family business, and Lola, a high-energy and creative drag performer, who together radically change Price & Son’s focus from men’s dress shoes to fetish footwear. The musical lends itself well to use in strategic management and organizational behavior courses as a video case or source of video clips. This article explains how strategic management instructors may use the film to discuss sustainable competitive advantage through the resource-based view and generic competitive strategies, while organizational behavior instructors may use the film to illustrate concepts such as managerial roles, diversity, conflict management, and more.

Human resources strategy as a catalyst for the success of the competitive strategy: an analysis based on alignment

PurposeCompetitive strategy is one of the key factors traditionally related to performance, but research explaining the mechanisms through which this strategy improves business results is scant. This study aims to shed light on this relationship by analyzing human resource management (HRM) strategy as an essential tool for transforming business strategy into results.Design/methodology/approachFocusing on two generic competitive strategies, the authors establish hypotheses on the need for alignment among four echelons: business strategy, HRM system objectives, HRM system capabilities and business performance. The authors test these hypotheses with structural equation modeling techniques using data provided by 204 industrial companies.FindingsThe results show that to get the most out of a competitive strategy based on quality differentiation, HRM system objectives and capabilities must be focussed on quality. In the same way, a competitive strategy based on innovation differentiation requires HRM system objectives and capabilities focussed on flexibility to achieve the maximum impact on performance. In this second case, alignment is fundamental in low dynamic environments.Originality/valueThis research not only provides additional evidence for the strategic relevance of the human resources (HR) function but also reveals the potential benefits of focusing on objectives and capabilities rather than on practices. Moreover, it shows that the role of HRM objectives and capabilities in the implementation of a competitive strategy can be shaped by factors beyond the company's control, such as environmental dynamism.

Internet-Based Entrepreneurial Ventures: An Empirical Investigation of Startup Business Strategies on Firm Performance from the MENA region

This study examines the possible impact of Generic Competitive Strategies, Cost Leadership, Differentiation, and Focus, on the financial and non-financial Performance of Internet-based entrepreneurial ventures in the MENA region. Descriptive analytical methodology and exploratory research design, consisting of qualitative then quantitative approaches, were utilized. After qualitative semi-structured interviews, a five-point Likert scale questionnaire was sent to Internet-based entrepreneurial ventures. SPSS was used to describe and analyse the data of 201 filtered and screened questionnaires. The results indicate that all of the examined generic competitive strategies have positive direct impacts on the performance of Internet-based entrepreneurial ventures. Differentiation strategies have the highest impact on the performance of Internet entrepreneurial ventures in MENA region, followed by Cost Leadership, then Focus strategies. This paper concludes with a discussion of the managerial implications of these findings, future research recommendations, and limitations of the study.

The Influence of Marketing Strategies on Growth and Sustainability in the Original Equipment Manufacturing Industry

The aim of this study was to assess the influence of marketing strategies on growth and sustainability in the OEM industry in Zambia. Based on Porter’s Generic Competitive Business Strategies, the study identified the major bottlenecks in the currently employed marketing strategies and assessed the relationship between Porter’s generic strategies in achieving KPI’s. A quantitative survey with structured questions was administered through self-completion questionnaires to 40 respondents, representing a 95% response rate. A descriptive research design was used and a quantitative research strategy used. IBM SPSS was used for correlation analysis, to assess the strength of the relationship between variables. The results indicated that at a 1% level of significance, the Pearson correlation coefficient of 0.01 and 0.000 at sig. (2-tailed) ket share growth. However, the results indicted a Pearson correlation coefficient of 0.015 and 0.036 which was not statistically significant at sig. (2-tailed)

Generic competitive strategies on organizational performance in Nepalese Commercial Banks

This paper attempts to examine the impact of generic competitive strategy on organizational performance in Nepalese commercial banks. It has employed descriptive and causal comparative research design to estimate the relationship between dependent variable (organizational performance) with independent variables (differentiation strategy, cost leadership strategy, focus strategy, organization’s core competency and bank size). Data has been collected from 384respondents by using structured questionnaire. The multiple regression model has been used to test the relationship. It is found that organizational performance of banks is influenced by cost leadership, differentiation, focus, organization ‘score competency and bank size.

Do SVOD product attribute trade-offs predict SVOD subscriptions and SVOD account access? Using utility constant sums to predict SVOD subscriptions and SVOD account access

ABSTRACT Over the past five years, there has been a market supply side upsurge of streaming-video-on-demand (SVOD) services, the slow but steady erasure of expensive cable and satellite bundling packages, and the rise of their response to SVOD services, the skinny bundle package. Considering this, do consumer product-trade-offs reflect generic competitive strategies exercised by SVOD firms? If so, do they predict consumer SVOD subscriptions or SVOD account access toward select SVOD firms? A conjoint analysis is executed in this study, and findings illustrate that utility constant sums can be used to help predict SVOD subscription and SVOD account access. This can aid practitioners in seeing if their competitive strategies are connecting to the right consumers with the right product trade-offs.