Envelopment Strategy (also called encirclement strategy) - This is a much broader but subtle offensive strategy. It involves encircling the target competitor. This can be done in two ways. You could introduce a range of products that are similar to the target product. Each product will liberate some market share from the target competitor’s product, leaving it weakened, demoralized, and in a state of siege. If it is done stealthily, a full scale confrontation can be avoided. Alternatively, the encirclement can be based on market niches rather than products. The attacker expands the market niches that surround and encroach on the target competitor’s market. This encroachment liberates market share from the target. Tata Tea Vs HUL is a classic example. Tata tea cannot take a frontal attack on HUL due to its size and power. So it strategically developed similar products for each variant of tea and entered into market niches in and around the strong holds of
HUL. This worked well for Tata tea and helped them percolate into the market.
Leapfrog Strategy - This involves bypassing the enemy's forces altogether. It involves either developing new technologies, or creating new business models. This is a revolutionary strategy that re-writes the rule of the game. A good example may be ICICI bank. Its entry into the banking has transcended the landscape and the competitive space. Its ATMs and Internet banking attracted the elite and the creamy layer and stuck to them through the first mover advantage.
art
ReplyDeleteOf
War.
It doesn't matter who your customers are or what you are selling, a website has become today's standard calling card. But unless you're a seasoned web professional, the idea of building your own site can be overwhelming small business web design inspiration
ReplyDelete