Businesses competing in stagnant or declining industries
Businesses competing in stagnant or declining industries must
a. resign themselves to performance targets consistent with the available market opportunities, emphasize cash flow and return-on-investment criteria as opposed to growth-oriented performance measures, and concentrate on drawing sales and market share away from weaker rivals (if they want to expand their market share)
b. pursue vertical integration and gain greater operating control over more stages of the industry's value chain
c. initiate deep price cuts to rejuvenate long-term demand and expand into the markets of foreign countries, especially emerging country markets
d. consider selling out and exiting the industry
e. steer a middle course between low-cost, differentiation and focusing and adopt a best-cost producer strategy aimed at the middle of the market sp
Solution Summary
The solution answers the multiple choice question below. No explanation has been given because the answer choice is self explanatory.
... c) mature/slow-growth, d) stagnant/declining, e) high ... in alcohol consumption and increasing competition from the ... is complicated for the companies to establish a ...
... c) mature/slow-growth, (d) stagnant/declining, or (e ... the newspaper is struggling to compete with Kindle ... to Reduce Dry Cleaning Hazards: Rochester Business Journal ...
... Is the industry growing, becoming stagnant or declining... of customers is growing and the companies begin to ... profitable, there will be more competition because of ...
... Before 1980, China's telecommunications market was stagnant. ... as technology improves, competition and subscribership ... Wireless companies have excess capacity on ...
...Competing in the Future. ... more to do with shoring up today's business rather than ... When faced with competitiveness problems like stagnant growth, declining margins ...
... for a certain commodity, they become stagnant in production ... 5 Businesses that previously enjoyed monopolies are forced ... products if they hope to compete in the ...
... is a plus for PepsiCo; competition - good substitutes ... much is retained by companies in the ... lines expensive to maintain-stagnant declining market Opportunities ...
... chairman) but his successor, MacAllister Booth, stagnant growth for ... key had Polaroid decided to compete in digital ... imaging with a nonrazor/blade business model ...
... only take FedEx so far" with stagnant pricing, limited ... FedEx will face more serious competition overseas than ... as following the broad US economy's business cycle ...
