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With a differentiation focus a firm creates competitive advantage through differentiation within the niche or segment. There are potentially problems with the niche approach. Small, specialist niches could disappear in the long term. Cost focus is unachievable with an industry depending upon economies of scale e...
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Cost focus is unachievable with an industry depending upon economies of scale e.g. telecommunications.
- The danger of being 'stuck in the middle.'
- Make sure that you select one generic strategy. It is argued that if you select one or more approaches, and then fail to achieve them, that your organization gets stuck in the middle without a competitive advantage...
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Generic Strategies - Michael Porter (1980)
Michael Porter's Generic Strategies
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