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Rolls-Royce employed a policy of deliberately limiting its output, a policy which enhanced its unique position and which could do so only because of that position in the first place. Mintzberg (1973b) calls strongly defensible positions and the associated policies "gestalt strategies," recognizing that they are difficult to either analyze or attack in a piecemeal fashion.Another type of positional advantage derives from successful trade names. These brands, especially when advertised, place retailers in the position of having to stock them which, in turn, reinforces the position and raises the barrier to entry still further. Such famous names as Sara Lee, Johnson & Johnson, and Kraft greatly reduce, for their holders, both the problems of gaining wide distribution for new products and obtaining trial use of new products by the buying public.Other position-based advantages follow from such factors as:• The ownership of special raw material sources or long-term supply contracts• Being geographically located near key customers in a business involving significant fixed investment and high transport costs6• Being a leader in a service field that permits or requires the building of a unique experience base while serving clients• Being a full-line producer in a market with heavy trade-up phenomena• Having a wide reputation for providing a needed product or service trait reliably anddependably
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