1

Strategic MarketingStrategic Marketing

2

Topic:Formulation and applications of focus strategies

Presented to:Sir Ahsan Shakoor

Presented by:Mudassar Afzal

Roll # AR523807

ACKNOWLEDGEMENT

3

I am thankful to the ALLAH ALMIGHTY , the most Merciful and beneficent, by the

assistance of Allah, I have accomplished my task.

I would like to thanks all people who directly or indirectly helped me to achieve this

target.

StrategyStrategy

4

Strategy (from Greek stratēgia, "art of troop leader; office

of general command, generalship") is a high level plan to

achieve one or more goals under conditions of uncertainty.

A method or plan chosen to bring about a desired future,

such as achievement of a goal or solution to a problem.

Focus Strategy Focus Strategy

5

Focus Strategy is based on the choice of a narrow competitive scope within an industry

Firm selects a segment or group of segments (niche) and tailors its strategy to serve themFirm achieves competitive advantages by dedicating itself to these segments exclusively

Focus Strategy Focus Strategy Conti…Conti…

6

Firms applying the model will produce products and

services to serve a particular group of consumers.

There are two types of focus strategies.

(1)Lowest Price

(2)Best Value

Conditions for Focus Conditions for Focus Strategy Strategy

7

A focus strategy can be attractive under the following conditions:

1)Target market niche is large, profitable, and growing2)Industry leaders do not consider the niche to be crucial to their own success3)Industry leaders consider it too costly or difficult to meet the specialized needs4)Industry has many different niches and segments5)Few rivals are attempting to specialize in the same target segment

Strategy Formulation and Strategy Formulation and Implementation Implementation

8

Strategy Formulation

The stage of strategic management that involves the

planning and decision making that lead to the

establishment of the organization’s goals and of a

specific strategic plan.

Strategy Implementation

The stage of strategic management that involves the use

of managerial and organizational tools to direct

resources toward achieving strategic outcomes.

IntroductionIntroductionApple Inc (formerly Apple Computer, Inc.) is an American multinational corporation with a focus on designing and manufacturing consumer electronics and closely related software products

Established: on April 1, 1976Founders: Steve Jobs, Steve Wozniak, and Ronald

WayneCEO: Tim CookApple’s history starts with the story of two young and

exceptional people who began building a computer in their garage and launched the microcomputer revolution. It’s the story of two ‘Steves’:- Stephen G Wozniak and Steven P Jobs

Apple CEO Tim Cook told Bloomberg Businessweek in an interview that:“We never had an objective to sell a low-cost phone. Our primary objective is to sell a great phone and provide a great experience, and we figured out a way to do it at a lower cost.”

11

Cook’s thoughts echoed those of his predecessor, Steve Jobs, whose strategy for Apple had four pillars:

1.    Offer a small number of products.2.    Focus on the high end3.    Give priority to profits over market share4.    Create a halo effect that makes people starve for new

Apple products

StrategyStrategy

Stockholders' Equity (2)- Retained Earnings 12