INFLUENCES ON STRATEGIC POSITIONING Flashcards
What is strategic positioning
Strategic positioning: The process of choosing the methods an organisation will use to differentiate themselves within the market in which they compete.
For example:
Low price
High levels of perceived value
What are some influences on strategic positioning
Understanding what the strengths and weaknesses of a business are - So that they can focus on what they are good at, and avoid what they aren’t so good at - Maybe improve what their weaknesses are. Also further developing what the business is already good at to match the external environment.
Opportunities and threats (PESTLE) - Take are strengths and weaknesses and see where opportunities lie (for the strengths) and where potential threats lie (with the weaknesses) Using PESTLE analysis
Size of the company - Ability to exploit economies of scale/ target mass vs niche markets
Brand image and customer loyalty
Financial position of company - SPending on R&D and promotion
Workforce - Levels of skills and innovation
Levels of competition and competitors actions
