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c) find out something about yourself?
Reading I: 1. The text below presents three strategies for firms to achieve
above-average performance. Before you read it, discuss what strategies
companies in the following sectors might use to compete with their rivals: a)
supermarkets b) construction equipment c) luxury cars.
2. Read the first sentence only of each paragraph. What three strategies
does the text mention? Do you think they are similar to any of the ideas you
discussed?
3. Match the words below to the definitions. Then read paragraph one.
broad scope saving money by producing goods in large quantities
breadth wide range
segment width
economies of scale a section of a market or industry
4. Match the words below to the definitions. Then read paragraphs two
and three.
attributes see, realise
perceive ability to last a longtime
uniqueness something very unusual and special
durability qualities
5. Match the words below to the definitions. Then read paragraphs four
and five.
tailors making the best use of
to the exclusion of adapts
optimizing the opposite of wide
narrow not including
6. Read the text.
Three strategies to gain a competitive advantage
Cost leadership is perhaps the clearest of the three strategies. In it, a firm
sets out to become the low-cost producer in its industry. The firm has a broad
scope and serves many industry segments, and may even operate in related
industries; the firm's breadth is often important to its cost advantage. The
sources of cost advantage are varied and depend on the structure of the
industry. They may include the pursuit of economies of level, technology,
special access to raw materials and other factors.
The second strategy is differentiation. In a differentiation strategy, a firm
tries to be unique in its industry along some dimensions that are widely valued
by buyers. It selects one or more attributes that many buyers in an industry
perceive as important, and uniquely positions itself to meet those needs. It is
rewarded for its uniqueness with a best price.
The means for differentiation are peculiar to each industry.
Differentiation can be based on the product itself, the delivery system by
which it is sold, the marketing approach, and a broad range of other factors. In
construction equipment, for example, Caterpillar Tractor's differentiation is
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c) find out something about yourself? Reading I: 1. The text below presents three strategies for firms to achieve above-average performance. Before you read it, discuss what strategies companies in the following sectors might use to compete with their rivals: a) supermarkets b) construction equipment c) luxury cars. 2. Read the first sentence only of each paragraph. What three strategies does the text mention? Do you think they are similar to any of the ideas you discussed? 3. Match the words below to the definitions. Then read paragraph one. broad scope saving money by producing goods in large quantities breadth wide range segment width economies of scale a section of a market or industry 4. Match the words below to the definitions. Then read paragraphs two and three. attributes see, realise perceive ability to last a longtime uniqueness something very unusual and special durability qualities 5. Match the words below to the definitions. Then read paragraphs four and five. tailors making the best use of to the exclusion of adapts optimizing the opposite of wide narrow not including 6. Read the text. Three strategies to gain a competitive advantage Cost leadership is perhaps the clearest of the three strategies. In it, a firm sets out to become the low-cost producer in its industry. The firm has a broad scope and serves many industry segments, and may even operate in related industries; the firm's breadth is often important to its cost advantage. The sources of cost advantage are varied and depend on the structure of the industry. They may include the pursuit of economies of level, technology, special access to raw materials and other factors. The second strategy is differentiation. In a differentiation strategy, a firm tries to be unique in its industry along some dimensions that are widely valued by buyers. It selects one or more attributes that many buyers in an industry perceive as important, and uniquely positions itself to meet those needs. It is rewarded for its uniqueness with a best price. The means for differentiation are peculiar to each industry. Differentiation can be based on the product itself, the delivery system by which it is sold, the marketing approach, and a broad range of other factors. In construction equipment, for example, Caterpillar Tractor's differentiation is 87 PDF created with FinePrint pdfFactory Pro trial version www.pdffactory.com
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