Tailoring Strategy to Fit Specific

Industry and Company

Situations

Matching Strategy to a Companys

Situation

Most important
drivers shaping
a firms
strategic
options fall into
two categories

Nature of industry
and competitive
conditions

Firms competitive
capabilities,
market position,
best opportunities
2

Nature of Industries
Emerging industries: new markets, new
products
Growing industries: an increase of the
new products and new players
Mature Industries: slow growth of the
product demands; emphasis on services,
instead of core product
Decline or Stagnant Industries; a decline
of the product demands;
3

Competitive Conditions
High-Velocity Markets: high in innovation,
short-life cycle of products
Fragmented Markets: diverse segments,
distinct preferences