Porter's Generic Strategies Research Articles

ANALISIS DAYA SAING EKSPOR KOPI SUMATERA SELATAN DI PASAR ASEAN

Plantation is one of the most important and strategic sub-sectors in the socio-economic life of the people in South Sumatra Province. South Sumatra has a high amount of coffee production compared to other provinces, but in reality the average number of exports is not still relatively small compared to the results of its production. Descriptive research with a qualitative method was conducted intensively, in which researchers participated in the field, and conducted a comprehensive analysis of various documents found in the field. Primary data were obtained through interviews and observations, while secondary data were obtained from books, journals, reports, from various relevant agencies and from credible websites. Then, coffee export competitiveness is analyzed with Diamond Porter's Theory guidelines and strategy analysis with Porter's Generic Strategy. This study found that South Sumatra has competitive advantages including conditions with supporting natural resources so that the amount of production is abundant, but needs to be supported by factor conditions, more adequate infrastructure, such as access to plantation roads and seaports as access to export trade, and Improving the formulation of clear trade management policies. The strategy used to increase the competitiveness of South Sumatra coffee exports, namely by creating superior products in terms of differentiation, namely creating quality and different coffee, was built by creating a team of quality and integrity workers so as to create quality production from upstream to downstream, and offers competitive prices, so as to increase the competitiveness of South Sumatra coffee exports.

Strategic Formulation Analysis of Semi-Permanent Building Provider from Containers, "I-Cont."

PT. Karya Inti Abadi Kontainer, trademark ‘I-CONT,’ is a container modification company creating business stalls with modern, practical and economical containers. We are the solution for MSME business players, which is focusing on the food and beverage industry. Aside from that, we also provide services in membership from consultation, modification containers, delivery, maintenance, service until reselling and remodification. The strategy method uses the Value Proposition Canvas, IFE, EFE, VRIO, CPM, SWOT, IE, QSPM, Porter's Generic Strategy and Lean Business Canvas Model. The results of this analysis can help to determine a suitable business model for PT. Karya Inti Abadi. Keywords: Value Proposition Canvas, Porter's Generic Strategy, Lean Business Model Canvas, containers.

Influence of Cost Leadership Strategy on Performance of Deposit Taking Savings and Credit Cooperative Societies in Uasin Gishu County, Kenya

Savings and Credit Co-operative Societies (SACCOs) in Kenya quite like any other commercial establishments encounter significant difficulties that are presented by ever-changing and intensely aggressive market conditions. Nevertheless, for SACCOs to contest confidently and remain relevant and competitive, they are obliged to recognize and follow relevant competitive strategies as a fundamental determinant for exceptional performance. This study analyzed the influence of cost leadership strategy on performance of deposit-taking SACCOs at branch network level in Uasin Gishu County. Porter Generic Strategies Model guided this study. For the accomplishment of the study objective, it was crucial to analyze the relationship between different variables connected with the research in relation to the performance of deposit-taking SACCOs hence positivism philosophy and cross-sectional descriptive survey research design were employed. Target population consisted of 277 officials from the deposit-taking SACCOs. Yamane (1967) formula employed to determine expected sample size of 164 participants. A five-point Likert scale questionnaire was adopted for primary data collection. Reliability of the instruments was resolved through the internal consistency where Cronbach's Alpha correlation coefficient of 0.7 and above was considered acceptable. Data were descriptively analyzed using means and standard deviations, and inferentially by correlation and regression analysis to measure strength and direction before fitting the Multiple Linear Regression model. The study found that there is a statistically significant positive influence of constructs of cost leadership strategy (p<0.05; R2= 0.678) hence the study rejected the null hypothesis. The study therefore concluded that there was a statistically significant influence of cost leadership strategy on performance of deposit-taking SACCOs and therefore, recommended that deposit-taking SACCOs in Uasin Gishu County should devise cost leadership strategy for wide markets using cheap sourcing, reduced operational costs and economies of scale to achieve superior performance. Keywords: Cost Leadership Strategy deposit-taking SACCOs’ performance, Uasin Gishu, Kenya DOI: 10.7176/EJBM/13-20-01 Publication date: October 31 st 2021

Determination of Porter's generic competition strategies in halal hotels: A research on managers

Helâl turizm mütedeyyin turistlerin inanç ve değerlerine uygun olarak, tüm turistik faaliyetlerine şekil veren bir bakış açısıdır. Son yıllarda turizm sektöründe yaşanan yoğun rekabet ortamı otel yöneticilerini farklı stratejiler uygulamaya yöneltmiştir. Helal turizm Türkiye’nin içerisinde bulunduğu yoğun rekabet ortamında turizmin çeşitlendirilmesi ve rekabetin şiddetinin azaltılması için önemli bir araçtır. Çalışmanın temel amacı: Türkiye’de en fazla Helâl temalı otele sahip il olan; Antalya'daki Helâl otel yöneticilerinin uyguladıkları Jenerik (Genel) Rekabet Stratejilerini tespit etmektir. Bu çalışmada nicel veri toplama araçlarından biri olan anket kullanılmıştır. Helâl otellerde uygulanan rekabet stratejilerine ait ifadeler orijinal ölçeğe uygun olarak 4 boyut altında verilmiştir. Bunlar; Maliyet Liderliği, Maliyet Odaklılık, Farklılaştırma ve Odak Farklılaştırma stratejileridir. Çalışmada Helâl otel yöneticilerinin sahip oldukları demografik özellikler ve iş statülerine göre hangi rekabet stratejilerini tercih ettiği tespit edilmiş ve araştırmadan elde edilen bulgular ışığında araştırmacılara ve otel yöneticilerine çeşitli öneriler sunulmuştur.

PORTER'S GENERIC STRATEGIES AND FIRM PERFORMANCE IN PETROLEUM MARKETING COMPANIES: A CASE STUDY OF VIVO ENERGY, NAIROBI, KENYA

ABSTRACT The main objective of the study was to establish the influence of Porter's generic strategies and firm performance in petroleum marketing companies using Vivo Energy Limited as a case study. The business environment in emerging economies has witnessed intense competition among firms. Petroleum marketing companies in Kenya have had to face such conditions in a competitive environment prompting the firms to develop strategies that match their capabilities to market demands. The specific objectives of the study were: to examine how leadership cost strategy and; focus strategy affect the firm performance of Vivo Energy Limited. The study was premised on the; resource-based view, competitive advantage and contingency theories. This study adopted a descriptive research design. The target population was 237 employees at Vivo Energy Limited. Stratified proportion sampling was used to obtain a sample of 108 respondents. Questionnaires were used for data collection. Data was analyzed using descriptive and inferential statistics to determine the relationship between the study variables. Pearson correlation analysis was carried out to establish the relationship between dependent and independent variables. The analysis of variance (ANOVA) was checked to reveal the overall model significance. The study established that there was a positive relationship between the cost leadership strategy and firm performance. Analysis also revealed that focus strategy had a substantial positive correlation, establishing that focus strategy and firm performance are fundamentally related, and that the variation in firm performance can be explained by a unit change in focus strategy. The study recommended that the management of Vivo Energy Limited should adopt cost leadership strategy that is focused on gaining competitive advantage byselling their products at average prices to earn higher profits than competitors in the sector or below the average industry prices to gain market share. It also recommends that Vivo Energy should consider employing focus strategies that are concentrated on narrow segment aimed at achieving cost advantage or differentiation. Keyword: Cost leadership, Firm Performance, Focus strategy, Generic Strategies

War for Competitive Advantage – ‘Porter’s Generic Strategies Past – Present – Future’ – A Review

Michael Porter coined the generic strategies and competitive advantage with opening new arenas for researchers and practitioners. Since its inception, Porter's typology has faced various explanations, frameworks, criticism, and refinements. The present study reviews the research on Porter's generic strategies in the Strategic Management Journal since the inception of the journal in 1980 till 2020. Researchers propose to discuss, review, summarize, match, and contrast the similarities and differences in various approaches to strategy choice and decision makings. Researchers propose future research propositions while connecting other pertinent questions in the field of strategic management, as Porter suggested that dynamic theory is required than static and standalone research frameworks.

Proposed Business Strategy for Small Medium Enterprises (SMEs) (Case Study: Rimbang SMEs of Clothing Industry)

Rimbang is one of Small Medium Enterprises (SMEs) of Clothing Industry that provides kids professional uniforms in Bandung, Indonesia. At present, as the growth of SMEs continues to increase and with the presence of marketplace platforms become one of the causes of the decline in product sales over the last three years, namely in the years 2017, 2018 and 2019.
 This research was conducted to develop the most suitable strategy based on existing internal and external factors. The results of internal factors analysis demonstrate the strength of reputation and good relationship and weakness in the form of a product type that is seasonal and easily emulated. The results of external factors analysis show the opportunity of online sales and future integration and threats in the form of potential newcomers and higher competencies. Analysis results are used to formulate strategies using SWOT Analysis, TOWS Matrix and Porter's Generic Strategy.
 The proposed strategy is the Cost Leadership Strategy and Forward Integration as a strategy used to improve and develop existing business strategies and marketing strategies. These strategies are done by developing limited resources, implementing effective value chain activities and conducting product marketing directly to end consumers through online and offline sales.

BUSINESS DIFFERENTIATION STRATEGY OF ANTIMICROBIAL PRODUCTS IN THE COVID-19 PANDEMIC

The Covid-19 pandemic that has struck the world worldwide has had a major impact, particularly on the economic and socio-cultural conditions of every person in every country. No exception in Indonesia, which has not escaped and is also affected by the global pandemic. There is a slowdown in the growth process in the economic and financial sectors. This is the result of efforts to stop the spread of the virus with a lock-down action country in the world, and the implementation of the WFH (Work From Home) program and the PSBB (Large-Scale National Limitation) in Indonesia is having an effect for most industrial companies to slow down the business. This situation has a major impact on conditions in almost all companies where business is slowing down. There has also been a decline in activity in manufacturing companies producing paints, as consumer demand for paint products has been drastic due to the many delays in the process of building and building, and the process of painting houses and buildings has been stopped by painters. PT XYZ Raya, a national paint company that realizes competitive advantages between paint manufacturers, develops a differentiation strategy for paint products that meets the conditions and needs of paint consumers under the current pandemic conditions, namely antimicrobial paint products that can prevent this and inhibit the growth of viruses, germs and bacteria on the walls of our houses. So that family health can be maintained by using these antimicrobial wall paint products. The product differentiation strategy, in this case wall paint, is an embodiment of one of the company's competitive strategies according to Michael Porter's generic strategy

Analisis SWOT terhadap Strategi Penjualan Smartphone Xiaomi dan Vivo

The growth of smartphone users every year continues to grow and is a necessity for its users. Every smartphone company competes for generous consumers and competes to provide the technology and features needed by its users. This research was conducted to see a SWOT analysis of sales strategies on Xiaomi smartphones and Vivo smartphones in terms of differentiation strategy, focus strategy, cost leadership strategy. This study uses a digital use database to find articles relevant to the SWOT analysis of sales strategies on Xiaomi smartphones and Vivo smartphones. This type of research used in this research is descriptive analysis with a qualitative approach. The analysis method used is the SWOT analysis and Porter's Generic Strategy. The results showed that in total, this smartphone company had implemented the generic porter strategy well. However, the Vivo company's focus strategy is only applied so that the Vivo company can focus on marketing efforts on one or two market segments and create a marketing mix that is specific to that market so that the company can find better market needs.

Strategic Planning Model of Islamic Religious Higher Education (PTKI) in Indonesia

Strategic planning for higher education is vital because it becomes a reference in determining the direction of policy and organizational performance. To win the competition in gaining the market, strategic planning activities become the spearhead in determining the strategy to achieve the appropriate institutional goals. However, the implementation of strategic planning at Islamic Religious Higher Education (PTKI) is often constrained because of the lack of understanding of the importance of these theories, so the implementation of strategic planning is often only intended for administrative requirements. Amid this condition, there is a phenomenon where some PTKIs are developing rapidly and transforming to be more market-oriented and to win the competition. These PTKIs are UIN Maulana Malik Ibrahim Malang, UIN Syarif Hidayatullah, IAIN Tulungagung, Muhammadiyah University of Malang, and Malang Islamic University. They have succeeded in creating effective strategies in organizational development until now they can become modern institutions and develop into multi-level organizations. The purpose of this study is to explore the five PTKI strategy models in Indonesia at the corporate and business unit levels based on Fred R. David's corporate-level strategy models, and Porter's generic strategy model theory Data were collected by qualitative methods through observation, interview, and documentation techniques. The results showed that at the corporate level, Fred R. David's strategy models applied by PTKI were vertical integration strategy, intensive strategy, and diversification strategy. In the defensive strategy, what is more, applied is the retrenchment strategy choice. However, at the business unit level, Porter's well-implemented strategy models are the cost leadership strategy, differentiation strategy, and focus strategy. These results have implications for the selection of business strategy models to be used in either profit-oriented or non-profit strategic planning activities in PTKI.

Proliferation of Market Share of Hydraulic Excavators and Wheel Loaders in the Stone Crusher Segment by Strategic Decisions

In today's business scenario, technology plays an important role in any industry. Construction Equipment and the mining industry play a major role in the success of any developing country. These machines and crushers facilitated the construction companies with equipment and material for completion of major government projects such as the Kaleswaram Lift irrigation scheme project evaluating 1.2 Lakh crores and ongoing projects like Polavaram project with 48 open gates. In this paper, end to end survey has been implemented by deliberate fieldwork to stone crushers and quarries with a questionnaire analyzing the technical disparities of machines, premium and non-premium market share and various mining industries in Stone crushers segment. The calculations of the data collected have been graphically represented. The paper also gives a detailed view of the marketing strategies to be adopted for the sale of Excavators and Wheel Loaders in stone crushers. In this study, the sale of Excavators and Wheel loaders at different locations of Telangana state has been investigated and optimized. The data collected from different districts were analyzed using Porter's Generic strategies and an action plan is derived which will be used to enhance the market share of the company.

Branch Transformation Strategies and Competitive Advantage of Commercial Banks in Ongata Rongai Town Kaijado County, Kenya

Significant transformations in both developing and developed economies have happened in the banking sector over the last twenty years. These transformation initiatives in the banking industry are meant to optimize, modernize and reimage the bank through the application of transformation strategies to create competitive advantage for commercial banks. The bank branch is considered as the main tool for accessing customers, increasing market share, attracting new customers, and gaining competitive advantage. Due to the high level of competition in the banking sector in Kenya, banks have been forced to introduce transformative strategies at the branch level. The aim of these transformative strategies is to create loyalty, customer and stakeholder satisfaction and increase market share for competitive advantage. Therefore, branch transformation strategy stresses the application of incremental, disruptive and fundamental changes aimed at reimaging, optimization and modernizing of the branch network through strategic customer centricity, strategic staffing, innovation and operational excellence in order to gain competitive advantages. This research study aimed to determine the effect of the branch transformative strategies on the competitive advantages of commercial banks in Ongata Rongai Town, Kenya. The specific objectives of this study included determining the relationship between customer-centric, innovation, strategic staffing, operational excellence strategies and competitive advantage. The study was anchored on the Resource-Based View Theory, Michael Porter's Generic Strategies Model, and Lean Six-Sigma Model. The study adopted the descriptive research design. The population consisted of all the seventeen commercial banks operating in Ongata Rongai Town, Kenya. The study used census. The respondents were fifty-one top managers working at the seventeen commercial banks in Ongata Rongai Town, Kenya. The study used primary qualitative data. The data was collected using questionnaires. The data collected was evaluated using ANOVA. The study established that customer-centric, innovation, and operational excellence strategies had a positive and statistically significant effect on the competitive advantage of the seventeen commercial banks operating in Ongata Rongai Town, Kenya. Strategic staffing was found to have a positive but statistically insignificant effect on competitive advantages. The study recommended that commercial banks enhance the use of customer-centric, innovation, and operational excellence strategies as this will lead to increased competitiveness. The study further recommends that commercial banks should review their strategic staffing framework to make it more effective.

Класифікація маркетингових конкурентних стратегій закладів охорони здоров’я.

The subject of the study is a typology of marketing competitive strategies for healthcare organizations operating in the healthcare market. The article describes general approaches to the formation of M. Porter's competitive strategies, on the basis of which groups of healthcare organizations are identified, in which it is possible to use basic competitive strategies – cost leadership, differentiation, focus. The author interpreted M. Porter's generic strategies for health care organizations on the basis of a study of the conceptualstructure of competition in the health care market and identified the main strategies based on three competitive advantages - quality of healthcare services, improvement of the process of creating healthcare services, differentiation of healthcare services. Criteria for organizing and grouping competitive marketing strategies for healthcare organizations are proposed: cost orientation, focus on service quality, consumer oriented. The developed classification is based on the study of different models of competition and considers the peculiarities of the medical field. Separately, the author focuses on comparing «Red ocean» and «Blue ocean» strategies and examines the possibilities of introducing streamlined database technology (blockchain) in developing competitive strategies for health care organizations. The advantages of the combination of Blue ocean strategy and blockchain technology are substantiated in the article.

Competitive Strategic Management Practices and Performance of Small and Medium Enterprises in Kenya: A Case of Mombasa County

The competitive business environment has forced organizations to engage in complex business decisions which require competitive strategic management. According to Haines (2016), Competitive Strategic management practices involves the formulation and implementation of the major goals and initiatives taken by a company's top management on behalf of its owners, based on consideration of resources and an assessment of the internal and external environments in which the organization competes. Competitive Strategic management practice is an important practice as it gives a strong influence towards firms’ success. Due to the ever changing business environment, small and medium enterprises struggle to operate, manage and improve their businesses efficiently in order to deliver quality products and services consistently and on time. This is because in most enterprises the application of business strategies requires a host of expensive and time consuming changes both in the organizational culture and structure hence many owner / managers have had to overlook for some necessary and critical business strategies. The study will be guided by four objectives; to establish the effect of Cost leadership strategy on the performance of small and medium enterprises in Mombasa central business district, to determine the effect of Differentiation strategy on the performance of small and medium enterprises in Mombasa central business district, to establish the effect of focus strategy on the performance of small and medium enterprises in Mombasa central business district and to determine the effect of product innovation on the performance of small and medium enterprises in Mombasa central business district. The study will be anchored on three theories namely; Resource-based theory, game theory and Porter Generic Strategies Theory. The study will adopt both cross-sectional research design and descriptive survey design. This study targets 19,708 small and medium enterprises located at the Central Business District of Mombasa City County. A sample size of 202 small and medium enterprises will be selected for the study where the units of the study will be business owners/managers. Structured questionnaires will be used to collect primary data. The data collected will be analyzed using SPSS and the specific statistics will be descriptive and inferential statistics. The results will be displayed on charts, tables and graphs. Multivariate regression model and path analysis technique will be used to show the relationship between the independent variables to the dependent variable.

Examining the Impact of Generic Strategies on Very Early New Ventures using Topic Modeling

Drawing on the concept of Porter's (1985) generic strategies, our study tackles the discussion on the most successful strategies for coping with competitors of very early new ventures. We derive ou...

The applicability of Porter's generic strategies in pure online firms: A case study approach

AbstractThe aim of this paper is to investigate the usability and applicability of Porter's generic strategies in the current e‐business environment. In this paper, a review of Porter's generic strategies was conducted to recognise the limitations and weaknesses of the model, which prevent its effective application in the e‐business environment. To do so, a case study approach on three pure online firms, e.g., Amazon, e‐bay and Google was employed. The findings acknowledged the application of Porter's generic strategies to pure online firms in order to achieve competitive advantage and proved the positive impact of generic strategies on firms' performance. The paper suggests that although cost leadership strategy is able to generate greater performance, pursuing a differentiation strategy can be more worthwhile and sustainable for pure online firms compared to cost leadership strategy. This research contributes to existing research by suggesting Porter's generic strategies as a valid and viable model for pure online firms which operate in the current e‐business environment.

DAYA KEKUATAN TAWAR MENAWAR PENGUSAHA SLONDOK DI DESA SUMURARUM KECAMATAN GRABAG KABUPATEN MAGELANG

ABSTRACT- This study aims to examine the external environment of slondok companies related to bargaining power used by slondok entrepreneurs with 2 Porter powers, namely bargaining power of buyers and suppliers as well as alternative strategies used by slondok entrepreneurs in increasing bargaining power of slondok. The type of research used is descriptive qualitative. The research method used is case study. The data used are primary and secondary data. Methods of data collection by interview. Participant selection technique with purposive sampling. Validity test and reliability test using source triangulation. Based on the results of research related to the strength of Porter in slondok company shows that the bargaining power of buyers is high, the bargaining power of the suppliers is as well as the alternative strategy applied is Porter's generic strategy. Kata kunci-agroindustri; industri kecil; kekuatan Porter; strategi generik

Investigating Competitive Advantage in Banking Industry Based on Porter's Generic Strategies

Main objective of this article is investigating the role of Porter's competitive strategies (differentiation, cost reduction and focus) to increase the competitiveness and eventually gain competitive advantage. This study is a cross-sectional survey that is conducted in 2017. The study population is 221 CEOs (senior managers) in 99 Branches of 4 private banks in IRANs provinces Tehran (Capital of Iran), Qazvin and Isfahan as 3 of the most monetary turnovers. The research tools are a questionnaire containing demographic and specific information. To analyze the data, an SPSS statistical software is used and several statistical tests are used in the testing of the hypothesis and research goals. Finally, the impact of each dimension of the strategy to increase competitiveness is assessed. Also, each dimension is ranked according to influence; respectively differentiation strategy, focus strategy and cost reduction strategies. Considering banks multiplicity and results, special invest on differentiation strategy reaching competitiveness advantages to escape Red-Ocean in this industry is necessary. JEL Classification Codes: M13, G24, G21, F14.

A property rights theory of competitive advantage

Research Summary: This article proposes a formal organizational economics approach to strategic management. Using a Property Rights Theory (PRT) framework, it rationalizes and provides a constructive contribution to two of the main strategy theories: the Resource‐Based View (RBV) and Porter Generic Strategies (PGS). The article shows that the welfare maximizing PRT conditions that characterize the existence and boundaries of a firm parallel both the RBV and Porter conditions for a sustainable competitive advantage, and provides a formal rationalization of Barney’s categorization of resources and Porter’s generic strategies. The article reveals some underexplored aspects of current informal theories, and extends their scope with the integration of strategic networks of complementors and social welfare considerations, opening up new avenues for research. Managerial Summary: This article brings two new insights for managers. First, showing that a firm can garner rents when it is a socially optimal form of organization for the assets it controls, it rationalizes the importance of control and adds a social welfare perspective to strategy. The Resource‐Based View (RBV) and Porter Generic Strategies (PGS), besides theories of competitive advantage, can also be viewed as theories of control. Second, taking into consideration the growing importance of networks and complementors in the knowledge economy, this article highlights the strategic importance of two resource characteristics—collaborative and easy to combine—and opens up new doors for the consideration of two business strategies for managers—platform and coordination—in addition to the traditional cost, differentiation, and focus strategies.

Determining strategic clusters and performance of construction organizations in South Africa

ABSTRACTThis study examines the linkage of strategic clusters and performance of South African organizations, using Porter's generic strategies to determine whether differences exist between clustered organizations in terms of performance, characteristics, resources and capability and how the companies achieve strategic fit within different environments. A questionnaire survey was used to collect data from construction companies registered in Grades 7–9 on the cidb contractor register. The study results show that four clusters of construction organizations exist in the South African construction industry; that the four strategic groups exhibited the characteristics of Miles and Snow's Taxonomy of Strategies; and that human resource capabilities were significantly different across the groups. However, the results show no statistically significant differences among the clusters in terms of performance. It emerged that all the respondents' organizations placed a high premium on employee satisfaction as a measure of achieving success. This study thus proved empirically that different clusters of organizations exist within the South African construction industry, and that they exhibit the characteristics of defenders, prospectors, analysers and reactors.