In the early 1990s, the world leaders in their industries were Motorola, Xerox, Kodak, and by the early 2000s they had lost ground. There are many such examples. This suggests that strategies that have been successful have lost their strength over time. To survive and maintain market share, businesses need to consider the changing competitive landscape.
A strategy is a plan to win the market in a competitive environment. Without a strategy, a company can only adjust to the actions of rivals in order to defend its position. In this way, it will not be possible to win in any direction. And as soon as a strong competitor appears, there will be heavy losses.
A strategy can be considered competitive if it helps to maintain a balance in simultaneously achieving two goals:
1) Act better in the current conditions than other organizations;
2) Form the basis for future market success.
The secret to survival and leadership is taking care of the present and the future. This can be compared to the actions of an athlete. If he trains only to enter the top ten, sooner or later he will be pushed out of this position. There will be rivals who will build the training process not only for current successes, but also with an eye to new records. The difference in approach seems subtle, but the way of life in the first and second options is very different.
This is the case with organizations. Successful companies use the competitive advantages they have achieved so far in order to get ahead after some time - after appropriate preparation - changing the rules of the game for all participants.
To achieve your goal, you must adhere to ten strategic principles:
• Strategy is not a one-time change of something, but an ongoing process. The benefits that exist today may be canceled tomorrow. Therefore, it is necessary to constantly analyze internal and external procedures for compliance with the market situation.
• A good action plan should create new opportunities.
• Changes within the company are needed to take advantage of the benefits.
• The strategy creates and implements changes that must correspond to the market environment.
• The plan must continually adapt and expand.
• To achieve the goal, it is necessary to create new value for consumers.
• It is necessary to focus on the future.
• The company must constantly strive to outflank competitors - to be smarter and more prudent.
• It is necessary to act so that the opponents do not have time.
• The strategy should be assessed by several parameters and understand that its implementation will never be a definitively solved task.
