Summary definitions of Miles and Snow’s four business strategies: Prospector • Operates within a broad product-market domain that undergoes periodic redefinition. • Values being a ‘first mover’ in new product and market areas, even if not all of these efforts prove to be highly profitable. • Responds rapidly to early signals concerning areas of opportunity and these responses often lead to new rounds of competitive actions. • Competes primarily by stimulating and meeting new market opportunities, but may not maintain strength over time in all markets it enters. Defender • Attempts to locate and maintain a secure position in relatively stable product or service areas. • Offers relatively limited range of products or services compared to competitors. • Tries to protect its domain by offering lower prices, higher quality or better service than competitors. • Usually not at the forefront of technological/new product development in its industry; tends to ignore industry changes not directly related to its area of operation. Analyser • An intermediate type; makes fewer and slower product-market changes than prospectors, but is less committed to stability and efficiency than defenders. • Attempts to maintain a stable, limited line of products or services, but carefully follows a selected set of promising new developments in its industry. • Seldom a first mover, but often a second or third entrant in product-markets related to its existing market base – often with a lower-cost or higher-quality product or service offering. Reactor • Lacks any well-defined competitive strategy. • Does not have as consistent a product-market orientation as its competitors. • Not as willing to assume the risks of new-product or market development as its competitors. • Not as aggressive in marketing established products as some competitors. • Responds primarily when it is forced to by environmental pressures. Source: Adapted from R. E. Miles and C. C. Snow, Organizational Strategy, Structure and Process (New York: McGraw-Hill, 1978). For Education Opportunities in Malaysia or Business and Education Opportunities in Malaysia please contact: Cosmic Supreme Inc. Suite # 02, House # 36, Road # 122, (2nd Floor), Century Park Tower, Gulshan – 1, Dhaka – 1212, E-Mail: cosmicsupremeinc@gmail Phone: 9897068 Mobile: 0175 9198 010 (Tanvir)
Posted on: Tue, 02 Jul 2013 09:27:20 +0000
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