Learning to determine the firm's strategy and evaluating the competitive power of the resources and capabilities of the business will assess the current status of the company and identify areas of improvement. To grow and expand your business - analysis of the current situation of your operation is essential. Whether you are starting your business or have been in operation, taking the time to understand what strategies work best for your company and what changes need to be made are actions that should take place regularly.
Here are Six Questions to Evaluate the Resources and Ability to Compete Successfully:
Question 1: The business strategy - is it working? What is the current approach?
Question 2: What are the current resources or competitive edge of the business? What is the business niche?
Question 3: What are the current opportunities within the industry? Is the business matching demand or offering attractive alternatives to maintain a competitive edge in the market?
Question 4: Are the pricing or services costs attract customer value proposition and competitive within the industry?
Question 5: What are the key rivals or existing challenges of the business?
Question 6: What are the changes or modifications needed immediately for your business?
After these questions have been evaluated, identify solutions. No matter how many problems there are within the business - there are always solutions. Many times the answer to your business is more consistency or understanding the financials - where is the money going? Other times, it might be to develop a strategy that works with your business niche. There are several ways to improve your business continuity and client retention. Team members will feel the difference once you begin implementing changes, new techniques, automation, processes, and optimized procedures that enhance your time and the time of your staff.
Evaluate Your Business Growth within Your Market Niche
Are the lower-costs relative to rivals?
Are your products/services better or different?
Do you have a superior ability or a unique way to serve your market niche?
Do you have a narrow or broad geographic market coverage?
Do you provide a wide or narrow range of services or products?
Even if it's only one product or service you sell, implement a strategy that will highlight you as the best option, alternative, or the best within your industry.
Consider all the functional areas of your business and develop a strategy for each aligning with your future aspirations, the mission, and vision of the company. Remember that communication is a crucial element when presenting your expectations for each department.
Key Functional Areas to Develop Strategy
R&D, Technology, Product Design Strategy
Supply Chain Management Strategy
Sales, marketing, and distribution strategies
Information Technology Strategy
Human Resources Strategy
As you craft and execute strategies to compete successfully, consider the following:
Build competitive valuable partnerships and alliances with other enterprises.
Decide whether to expand or narrow your geographic coverage.
Respond to changing conditions within macroenvironments or market niche.
Plan and act proactively to attract customers and out-compete competitors through product design, better features, higher quality, wider selection, lower prices, and so on.