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Competitive strategy

Global standardization can save marketing and manufacturing costs, but many argue that those savings can come at the expense of long-term profits.

Companies hire consulting firms to help them develop a common approach to their market. This is usually called “strategic consulting.”Consulting firms help companies with activities such as developing a corporate vision, improving resource efficiency, or developing marketing approaches. Many companies, especially in highly competitive industries, consider it advisable to hire strategy consultants in order to give a more rational basis in the approach to their customers.

Products
One important aspect of this type of consulting is the idea of “product focus.”Sometimes it’s called ‘other products’ or ‘ product differentiation.'”Regardless of the name, the idea and J. consultants are made to assist in the production, planning and marketing of the company’s products. The point is to create a product that is clearly different from others – or at least to market it that way. For example, toothbrushes seem all very similar, but many companies exist that sell them. This is the case where product differentiation strategist can help toothbrush companies to create a unique shape of this very common element that at least seems different from or above others.

Resources
Optimizing the use of resources is an important area of strategic consulting. Many companies have resources, both in terms of capital and human labor, that are either not used or used inefficiently. A consulting company can be hired that will do a full analysis of the company’s capital, then lay out recommendations that would allow a more rational and efficient use of these already available resources. A simple example is the idea that a delivery truck should never run empty. A truck can usually leave the factory to make deliveries and then drive back to the factory empty. A consulting company can assist in the use of these trucks so that they make productive transport as well as with the distribution center as a way to make better use of an already existing resource.

Markets
Market analysis is another important component of the competitive consulting approach. In this case, the consulting company will focus its research on the needs and desires of a particular customer demographic base, such as age group, ethical group, or income group, which distinguishes it from other segments of the market potential. One important step is to establish how these people spend their money. Branding the territory is another step to figure out what kinds of marketing services they will understand. A company can tailor its campaign to win this market subset.

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