Focused Low-Cost
Goal: Achieve a ________ ________ through serving target market niche with lower costs and prices.
Competitive advantage
What is the main difference between a Broad Low-Cost Strategy and a Focused Low-Cost Strategy?
The size of the targeted buyer group
What year did Dunkin' Donuts become Dunkin'?
2018
There is little risk of what?
Segment overcrowding
What chapter is the Focused Low-Cost Strategy from?
Chapter 5
What are the three segments that can be utilized in a focused low-cost strategy?
Geographic, customer, and product
Similarity: Achieved through becoming industry's lowest what?
Cost producer
How much did Dollar General's revenue increase in 2018?
9%
Who chooses not to compete in the specific niche?
Industry leaders
Of the 211 new Dunkin' locations opened in FY 2019, how many were international locations?
None
Why would a company choose a low-cost strategy?
Low-cost advantage can lead to superior profitability with a low price and high market share
Lowest cost possible
What are the three product categories that Claire's offers?
Inexpensive jewelry, accessories, and ear piercings
Why is it positive that there are plenty of niches and segments within the industry?
Focusers are able to concentrate on different market segments
How many new stores did Dollar General open in 2019?
975 stores
Which company mentioned focuses on a geographic segment?
Dollar General
Similarity: Incorporate ______ and ______ considered to be essential.
Features and services
What percent did revenues increase in FY 2019 for Dunkin'?
3.7%
Market niche can be profitable and have what?
Good growth potential
What are the three reasons why Claire's has maintained success in their industry over the years?
Brand recognition, strong market presence, and consistent market demand
What type of focus does a company have in regards to the entire market when utilizing this strategy?
Concentrated
Similarity: Finding a ______ within product offering.
Balance
In their mission, what does Dollar General "stand" for?
Convenience, quality brands, and low prices
Why do multisegment competitors struggle to compete?
It's costly to meet the specialized needs of niche buyers while satisfying expectations of their mainstream customers
What is the first question of the Under Armour case study?
What is your assessment of Under Armour’s performance downturn in North America that first appeared in the fourth quarter of 2018? Causes? Reasons?