Strategic Management
Strategic Management
4th Edition
ISBN: 9781259927621
Author: Frank T. Rothaermel The Nancy and Russell McDonough Chair; Professor of Strategy and Sloan Industry Studies Fellow
Publisher: McGraw-Hill Education
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Chapter 5, Problem 2ESI

How do the perspectives on competitive advantage differ when comparing brick-and-mortar stores to online businesses (e.g., Best Buy versus Amazon, Barnes & Noble versus Amazon, Old Navy versus Threadless [noted in Strategy Highlight 5.2], Nordstrom versus Zappos, and so on)? Make recommendations to brick-and-mortar stores as to bow they can compete more effectively with online firms. What conclusions do you draw?

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Whole Foods competes successfully with giant chains such as Wal-Mart and Kroger not on price but by emphasizing superior customer service, higher- quality products, a more extensive inventory of local and organic products, and a commitment to fair-trade suppliers. Its stores are well organized, attractive and entertaining. The keys to success such as superior customer service, higher- quality products, etc. that Whole Foods has built the company's strategy on are known as strengths key success factors core competencies O business strategies
How is success measured when a firm pursues a focus strategy? Only industry-wide competitors can create similar value for the market segment. Broad-based competitors choose not to serve that same segment of the market. It is possible for the firm to pursue low cost and differentiation simultaneously. Firms are willing to link with suppliers and distributors to manage costs.
How does the Internet and information technology influence Porter's five forces of competition and assist Save Mart Cash & Carry compete?
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