Friday, May 17, 2019

Scanning the Environment

Evaluating the relative positions of competitors allows occupation firms to discover threats and opportunities relative to organizational strengths and weaknesses together with an understanding of the political, economic, socio-demographic and technical forces shaping the competitive environment (Saloner, Shepard & Podolny, 2000). Insights from environmental scanning support sound strategies as shown in the succeeding discussion. Demographics and Socio-Cultural Trends and Choice of StrategyDemographics and socio-cultural trends reflect changes in consumption so that the firm that can match the pace of consumer behavior would likely achieve an raciness in the market (Porter, 1998). Amazon market place is responding to the growing adoption, by the niche market of non-price sensitive consumers, of the wellness conscious lifestyle resulting to an increase in demand, for fresh and healthy diet products, especially with media buzz on diet and weight-loss regimen by applying the niche s trategy.Aldis targets a different trend, which is the growth in the spirit to low income group leading to the rise in price-conscious consumers seeking low priced products but of high quality. magnetic core of Advertising on Strategy The audience reached by television and online denote explains the strong impact of denote on business strategy (David, 2007). Amazon Grocery likely engages extensively in advertising by both television and online advertising focused on reaching its targeted niche market.Advertising in the timeslot of food and lifestyle shows and creating websites or forums on healthy food suggestions argon means of reaching the niche audience. Aldis also engages in television and online advertising with a broader perspective because it is targeting a grandr market and it has a wide range of options from airing during the timeslot of childrens shows and soap operas together with company website and forums.Relative Positions of Competitors. Collated information on d emographics and socio-cultural trends and advertising strategies appears to support Aldis better position. Aldis targets a wide range of consumers, which means leeway for enlargement and growth when compared to the easily saturated niche market of Amazon Grocery. Aldis has two encourage offerings, which are quality and low-price allowing the firm to gain a bigger market share while Amazon Grocery only offers the value of quality healthy and organic foods.Recommended Strategy for the Grocery Store Chain. Based on recent trends and changes in the market, the effective strategy for the grocery insert chain is to develop a one-stop store chain providing a section on high quality but low-priced (if not the lowest priced) healthy and organic foods and a section for high quality and low priced (if not the lowest priced) other(a) food items. The grocery could also consider establishing a ready-to-eat and non-food sections both adopting the quality and low price value combination. This would allow the grocery food chain to tap into both the markets of its competitors and reach untapped segments giving it an edge.Strategies and alter Image as Corporate Citizen in the Community Strategies can enhance the image of firms as modify members of the confederation by providing products and serviced that improve the wellbeing of fellow community members (David, 2007). Amazon Grocery supports the health of community members, Aldis empathize with the limits of the purchasing power of residents, and the grocery store chain provides every possible pick up of the community. Conclusion Knowing ones competitive position and that of close competitors supports the development of effective strategies that induce an edge for firms.

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