Previous Chapter Porter's Competitive Strategies Next Chapter

In: Key Concepts in Marketing

Chapter : Porter's Competitive Strategies

  • Citations
  • Add to My List
  • Text Size

Porter's Competitive Strategies
Porter's competitive strategies

Porter (1985) suggests four basic competitive strategies: three of these are potentially winning strategies and the fourth is almost invariably a losing strategy:

  • Overall cost leadership. A company that minimises its costs can either reduce its prices or increase its profitability, thus obtaining a competitive advantage over other companies. Minimising costs may be a result of developing efficient systems, it may be a result of negotiating better supply prices, or it may mean moving production to lower-cost countries.
  • Differentiation. Companies that are able to offer products which their customers perceive as significantly different from competing products are able to charge premium prices (provided, ...

Looks like you do not have access to this content.


Don’t know how to login?

Click here for free trial login.

Back to Top

Copy and paste the following HTML into your website