Porter’s Generic Strategies for Competitive Advantage
Porter’s Three Generic Competitive Strategies
According to Michael Porter, a firm can achieve a sustainable competitive advantage by implementing one of three generic strategies: cost leadership, differentiation, or focus. These strategies enable a company to effectively face the five competitive forces within an industry and achieve profitability.
A competitive advantage is any characteristic a firm possesses that differentiates it from its competitors, placing it in a superior relative position
Read MoreThe New Deal: Government Intervention and the Banking Crisis of 1929
The Road to Ruin: Hoover, Optimism, and the 1929 Crash
In March 1929, Herbert Hoover delivered his inaugural speech with bold tones of optimism for the economy. His confident words pushed for the start of a bull market, which then empowered many people to invest in stocks, often investing heavily on margin. Due to unprecedented stock prices and the convenience of down payments, people began putting a lot of money into the market. Dangerously enough, it was mostly on speculation. When the market ran
Read MoreEU Road Transport Operator Requirements: Regulation 1071/2009 Compliance
Key Provisions of EU Regulation 1071/2009
Scope, Objectives, and Compliance (Q1–Q10)
What was *not* a reason for the EU passing Regulation (EC) No 1071/2009? → Employing the younger generations.
Prior to Regulation 1071/2009, were all Member States consistently following rules and regulations? → False.
Consequences resulting from the inconsistent application of rules and directives:
- Employing staff with a low professional qualification.
- Distortion of competition.
How does employing unprofessional
Fundamentals of Entrepreneurship and Enterprise Management in India
Module 1: Entrepreneurship and Motivation
Defining Entrepreneurship
Derived from the French word “entreprendre” meaning to undertake. An entrepreneur is one who undertakes risk, and entrepreneurship is the process of creating a business by innovating and managing risk for profit.
Requirements to be an Entrepreneur
- Innovation
- Risk-taking ability
- Vision and opportunity recognition
- Decision-making skill
- Leadership and adaptability
Entrepreneur vs. Intrapreneur
- Entrepreneur: Owns and controls the business,
Essential Terminology in Strategic Management
Strategic Management Glossary: Key Business Concepts
Added Value
The difference between the full cost of a product and its financial value in the market. Achieving high added value is one of the primary objectives of business strategy.
Backward Vertical Development (Integración Vertical Hacia Atrás)
The strategy of buying your suppliers. This involves the acquisition of a part or the entirety of the backward direction in the supply chain.
BCG Matrix
A planning tool used to rationalize and understand
Read MoreAddressing Family Conflicts and Social Vulnerability
Identifying Social and Family Difficulties
Challenges to Quality of Life
Meeting essential needs in different areas: food, housing, employment, education, leisure, and social security.
Family Relationship Conflicts
Relations between different individuals, conflicts, and crises stemming from common life:
- Couple conflicts.
- Parent-child relationships: responding to their own developmental stages.
- Intergenerational solidarity: the care of dependent members and new family responsibilities.