Free Essays Chapter 5 This chapter provides a sum-up of the research and includes recommendations for future related surveies. These recommendations are based on contemplations on the research, bing scholarly literature and study consequences.
These are cost advantage and differentiation and firms should pursue these 2 strategies in order to achieve higher profitability Porters 5 generic strategies essay their competitors.
There are according to Porter three generic strategies that a company can employ.
These are cost leadership, differentiation and focus. Focus Strategy A focus strategy requires a firm to concentrate on a particular market segment which may be dictated by factors such as the buyer, the product, or the location rather than the overall market.
Differentiation Firms that follow the generic differentiation strategy seek to exploit firm-specific assets by producing goods or services, which are almost unique compared to those offered by rivals. Differentiation is not limited to the physical nature of the product. Essentially a firm seeks to establish itself as unique within its industry.
Effective differentiation is generally resistant to the forces of competition. Potential and existing rivals must overcome the uniqueness of the product and try to erode customer loyalty.
TNT employs different strategies to gain competitive advantage over its competitors. In order to increase market share in Southeast Asia and to also market its road network services, TNT need to use cost leadership strategy for this services that they are having, it has got to be the cheapest and most efficient road transportation service in Southeast Asia region.
The competitive advantage of TNT is by offering customers a road network that is a combination of cost efficiency, speed and security. This service is said to be 30 percent cheaper than air transportation and 3 times faster than sea freight TNT, It is something that none of its competitors had done in Southeast Asia.
Service Marketing Mix 7Ps Product TNT has the Asia Road Network that was built in Year and this service was targeted at domestic and International customers who require the delivery of high value goods within a specific and short time frame. Most of the industry targeted are from healthcare, high tech manufacturer, electronics goods manufacturer and automotive.
The first things that need to do is to build up the brand name and create awareness of TNT services and the existence of Asia Road Networking then work towards building customer base using its existing services.
Price What we want to provide to customer is a cost efficiency way of transportation. Providing secure day-definite transportation service and yet it is cheaper than air transportation service. To do this we have to adopt Price penetration strategy which will be beneficial to TNT in brand building, it will creates awareness to customers and fast diffusion which can achieve market penetration rate much quickly.
Information can be spread by words of mouth that can attract new customer and lure existing customer of DHL or Fedex to try out TNT service and then promote it to the next user that has never use TNT service before.
Promotion To create the service awareness, one of the way is through television advertisement, by advertising on television can be persuasive and gain advantages in consumers brand selection Lowenstein et al.
So one of the ways TNT could do is to advertise itself is by using a special technique called repetitive television advertisement, because when it is used on brands like TNT which is known but not in the mind of every consumer when they first think of courier service, it will have much higher effectiveness than of those unknown brand in the markets Campbell, M.
Place We will be targeting places in the Southeast Asia region, this is where customer will be more likely to use the Asia Road Network service especially in the region whereby there is high number of healthcare, high tech, electronics goods and automotive industry, which currently are Indonesia, Vietnam, Thailand, Singapore and Malaysia.
In order to get more companies aware of TNT Asia Road Network services, we could employ sales person in each country to directly approach the targeted industry manufacturer in Indonesia, Vietnam, Thailand Singapore and Malaysia region.
To be known to more users, TNT could offer its road service to E-retailer like those blog shops or online stores providing them with great offer or promotional discount as to market its services globally.
Other than calling directly to TNT customer service hotline, customer could also arrange to send the package through the website directly. From there customer could choose what kind of service they need, Air, Sea or Road service.
You can create shipping document for the cargo you deliver, track the cargo or just calculate the charges all on the website. People People are the most important element of any service or experience.
Services tend to be produced and consumed at the same time and the customer experience is adjusted to meet the individual needs. Most of the consumer can think of a situation where personal service is offered by service staff or remember what they buy from people that they like, so the attitude, skills and appearance of all staff need to be first class.
Therefore all customer service staff need to be trained and develop high quality of personal service. A training and development plan need to be constructed for individual which set out personal goals that can be linked into future appraisal. People tend to buy thing from who they like so effective customer service is very important, good customer service can add value by offering technical support or by expertise advice like which mode of delivery service is the most cost efficient for the customers.
TNT also acquires new fleet of Scania trucks which is specially design to travel efficiently on Asian routes in These trucks are specifically design for TNT which they collaborate closely when designing the requirement of these new machine.
It is said to be able to increase 20 percent greater load than previous truck, 3 ton lighter so it could reduce its wear and tear and improve its fuel efficiency Logistic Insight Asia With the expected increase of sales we will be increasing the number of Scania trucks moving around the region to cope with the needs.Introduction.
'Competitive strategy is the bases on which a business unit might achieve competitive advantage in its market '. There are two factors for a firm to be profitable: the fetching appearance of the industry in which it operates and its position in this industry.
The best known an.
Porters' value chain Essay. Michael Porter published the Value Chain Analysis in as a response to criticism that his Five Forces framework lacked an implementation methodology that bridged the gap between internal capabilities and opportunities in the competitive landscape - Porters' value chain Essay kaja-net.com Porters generic strategies in relation to Apple Essay Companies all over the universe employ countless schemes in other to hold competitory advantage over their rivals.
Each company ‘s strategic attack entails custom-designed actions to suit its ain fortunes and environment in which it kaja-net.com://kaja-net.com Strategic Management Essay — Porter's Generic Strategies and Strategic Clock 1.
Introduction Organizations operate in a challenging and very competitive business atmosphere where there is a certain level of uncertainty of what will happen in the kaja-net.com://kaja-net.com Porters 5 Generic Strategies Essay advantage.
Michael Porter, believed that the basis for this advantage falls under 3 base strategies of Cost leadership, Differentiation and Focus. Porter’s 5 forces summary According to Porter, in order to achieve competitive advantage over its competitors, analysis of current industry structure is vital because the structure of an industry determines the nature of the competition and the form that a sustainable competitive advantage takes and the industry structure is determined by the five competitive forces; the treat of substitute kaja-net.com