Clarify your strategic positioning
On what basis should you define your strategic positioning? This book puts the various approaches developed over the past two decades into perspective.
Over two decades ago, Michael Porter defined a strategic framework that continues to dominate management teaching and practices today. He asserted that companies basically have two strategic options, i.e. offer the lowest price or differentiate their offering from that of competitors.
Other schools of thought have emerged since then. Prahalad and Hamel advise companies to found their strategy on their core competencies and resources, while Fred Wiersema recommends building “customer intimacy” to boost competitive standing.
“The Delta Project” has the merit of reconciling all these approaches. The authors specifically show the potential superiority of strategies based on principles other than best product positioning. We found the following suggestions to be the most relevant:
– Discover two alternative strategic paths to best product positioning, i.e. offer total customer solutions or lock in the system with value-added complementary partners.
– Ensure that execution is aligned with the selected strategy. In particular, avoid blindly adopting best practices that are suited only to a best product model.
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