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Question 1
1. Evaluate the three generic strategies that companies can use to create a competitive
advantage in Wiid, et al. (2020; 2024). Explain using practical examples what strategy OBC
Meat and Chicken has used to create a sustainable competitive advantage. Keep each example
and justification under 100 words.
Three Generic Strategies for Competitive Advantage (Porter’s Model):
Cost Leadership: A company minimizes costs to offer lower prices than competitors, gaining
market share through price advantage. Example: Walmart achieves cost leadership by
leveraging economies of scale.
Differentiation: Companies create unique products or services perceived as valuable by
customers, often allowing premium pricing. Example: Apple differentiates with innovative
design and technology.
Focus: This strategy targets a specific market niche, tailoring offerings to specific customer
segments. Example: Rolls-Royce focuses on the luxury car market.
OBC Meat and Chicken Strategy:
OBC Meat and Chicken uses a focus strategy, targeting the price-sensitive market with low-cost,
high-quality meat products through their vertically integrated supply chain. By emphasizing
affordability and reliability, they sustain a competitive advantage in underserved regions.