Additionally, the company has a strong reputation in product development. Conclusion of the supplier information Considering the products PSC needs should be high quality and the supplier's production and lead-time should be high flexible to support PSC's make-to-order strategy. Avoiding possible risks are the critical issue. Multiple sourcing might minimize the purchasing risk, assurance of the source of supply and also enhanced buyer's negotiation leverage to get a better cost. According to our analysis of these case, Sure Tech and E-Drive are in better overall position.
Less in this marketing strategy is for less time and less money. This element is also a needed element in the value proposition. In order for a company to have a successful value proposition, it needs to quantify the value, state the relevance to the target market, and state the unique
• A differentiator must control its cost structure to ensure the price of its products does not exceed the price customers are willing to pay for them • When differentiation stems from the design or physical features of the product, differentiators are at great risk of being imitated ▫ Example? • When differentiation stems from superior service or reliability, or from any intangible source a company is much more secure. ▫ Example?
Jobs that have specific qualifications or task that are defined should be a Person/Job Match. Jobs that are poorly defined should be a Person/Organization Match, that is matched with the vision of the company. Having specific knowledge, skills, and abilities is needed for some jobs but the greater needs for the company would follow a more general path. Having a general skill set such as flexibility, ability to learn, and communication skills will enable your department to place employees across a variety of jobs and develop their more specific talents as the company has needs. While any company wants to employ exceptionally quality minded employees they are also faced with the fact that they are less experienced than the acceptable quality workforce.
Both strategies failed, therefore it is necessary to analyze what were their mistakes. • Core Competencies: Trexel has the know-how to development of different product better than its competitors (lower production cost), so it is necessary to consider the cost savings of the different alternatives. • Competitive Advantage: Because of Trexel has the know-how to produce high-quality products at low production cost, they are better positioned that its competitors. Also Trexel have protected their intellectual property through patents, which allow maintaining a sustainable competitive advantage in the time. For these reasons, it is necessary to analyze the competitive advantage of the different options presented.
* What are the distinguishing elements of a customer-driven quality requirement? What elements are unique to a customer-driven quality requirement? Why is interfacing between the provider and the customer so critical in the successful implementation in customer-driven quality requirements? * How does one evaluate the characteristics of a quality tangible product? How important would reliability and dependability factor into your evaluation?
Additionally, Costco has a goal of 3) maintaining its employee workforce, as high employee job satisfaction has translated into exceptional customer service and low employee turnover (Costco, 2012). The three standards to be chosen would be inventory turnover, store profitability and employee satisfaction. As I noted prior, the key to Costco’s success has been its ability to acquire popular goods and sell them quickly at minimal operative cost. A measure of inventory would be able to evaluate any significant trends in goods. If the inventory were to rise significantly for any particular item, it would indicate either the item is not popular, viewed as too expensive, or may be held up, off-site warehouses (depots) However, the turnover of goods is maximized by a seven day, 69 hour work, which includes weekends.
The important business competitive strategies are lower cost strategy and differentiation strategy. The lower cost strategy helps an organization compete efficiently in the industry by designing, producing and marketing a similar product from its rivals but at a lower cost. Differentiation strategy helps an organization develop and market a different product from its rivals. Our team understands these two competitive strategies because we can relate with always being different to stand out or try to purchase the same products and services at a lower cost instead at a higher cost (Wheelen & Hunger, 2014). To create value and sustained competitive advantage through business strategy, organization must be able to design, produce, and
When a consumer is purchasing a product they want to make sure they obtain maximum value for the money they spend and obtain a product that they perceive is greater than any other product in the market. Consumers look for something that sets a product apart from the rest wether that is providing a product at a lower price or by providing a higher quality product, ultimately a consumer will purchase the product with the greater perceived competitive advantage. Bunning’s warehouse is a company that gains its competitive advantage over the competition by offering the consumers products at lower prices than their competitors. Bunnings makes the promise of low prices through their slogan “Lowest prices are just the beginning.” The company does not just make an empty promise on providing the lowest prices but is able to back it up by saying “If you happen to find a cheaper price on a stocked item we will beat it by 10%.” (Bunnings Warehouse, Year Unknown) By creating and delivering the promise of lowest prices, Bunnings is able to position itself in the customers mind as providing superior value and as such has been able to gain majority share hold of the market through differentiating themselves from the competing companies through a competitive advantage. (Armstrong, Adam, Denize and Kotler, 2012) It is made clear through the example of
When deciding to outsource, there are risks such as quality issues, security issues and personnel issues. There are also various benefits to outsourcing such as the ability for the staff to focus on core related business functions. The vendors normally have access to better technology that would otherwise only be available with a large investment by the organization. Costs associated with an outsourcing agreement are primary, secondary and incremental. The implications of outsourcing for the business can be to strengthen the business structure or can lead to a weakness.