Strategic Groups and Marketing Decisions Complete the follow

Strategic Groups and Marketing Decisions Complete the following discussions: •Although strategic groups tend to be rigid, they are by no means fixed. One of the things managers have to be aware of is which firms may change group membership. With the results from Year 13 of the simulation, consider the following: Why do firms tend to cluster into strategic groups? Would it not make sense for firms to spread out across strategic spaces? Why or why not? Explain your rationale. How likely is it that firms competing in other strategic groups will adapt their strategy to compete directly against you? Explain your rationale. Which firms currently not in your strategic group would be most likely to try and enter your group? Why? •Firms also sell in the Internet markets and have to coordinate the Internet marketing strategy with the branded marketing strategy. How do firms that are successful in the Internet market balance their sales there with those in retail markets? Is there any evidence showing firms that emphasize the Internet channel are being hurt in the retail channel and vice versa? Support your answer with examples. A firm has to market an athletic shoe product line that it orders from its factories. Which decisions on the Production and Labor screens are critical to coordinate with the firm\'s marketing strategy? Why?

Solution

Answer:

Why do firms tend to cluster into strategic groups?

Answer: Firms tend to cluster into strategic groups to get the benefit of concentration of resources in the cluster. It becomes economically viable for the companies to operate in an economic cluster.

Would it not make sense for firms to spread out across strategic spaces? Why or why not? Explain your rationale.

Answer: It does not make sense for the firms to spread out across strategic spaces as it is not economically viable to them to do so. Clusters provde the firms all what is required in terms of resources to get the best use of the resources available.

How likely is it that firms competing in other strategic groups will adapt their strategy to compete directly against you? Explain your rationale.

Answer: It is very likely that they can compete against us. If the resources in other group gets over and the group gets no benefit to run in othe rgroup then it will takes place.

Which firms currently not in your strategic group would be most likely to try and enter your group? Why?

Answer: The firms that are in their growth phase and wats to expand would like to come in your group.

•Firms also sell in the Internet markets and have to coordinate the Internet marketing strategy with the branded marketing strategy. How do firms that are successful in the Internet market balance their sales there with those in retail markets? Is there any evidence showing firms that emphasize the Internet channel are being hurt in the retail channel and vice versa? Support your answer with examples.

Answer: They can compete with these firms by givig best after sales support to their customers.

A firm has to market an athletic shoe product line that it orders from its factories. Which decisions on the Production and Labor screens are critical to coordinate with the firm\'s marketing strategy? Why?

Answer: The decision related to the choice and feedback of the sporters is crucial for the firm.