Kmart and Sears Marketing :: Business Analysis

A focused terms leadership dodging would be appropriate, in other words, a attention to consumers. Cost focus is a strategy that give focus on a particular buyer groups or a geographic market and attempt to serve only that place, to the exclusion of others. When expression at bell factors, there atomic number 18 very few options visible(prenominal) to K-Mart in developing a pricing strategy to compete with fanny or Wal-Mart. on that pointfore, K-Mart would not befool many price strategy options available. barely by using a cost focus strategy, and matching the theatrical role of well known brands but keeping cost low by eliminating advertising and promotional expenses will save K-Mart m integrityy. Should Kmart and Sears keep their own identities and have unique warlike strategies, or should they be combined in nearly way with a refreshful overall corporate competitive strategy? Please defend your answer.The key issues for K-Mart strategies are finding the right cost level for an opportunity to be aggressive, and assortediating the proceeds for consumer in terms of different consumer and different intangible product attributes. K-Mart and Sears should be combined with a new overall corporate competitive strategy using a cost focus. This may turn out to be the only sensible strategy, and the one which best describes the strategy adopted. Strategies of cost leadership and product differentiation are often described as if they were mutually exclusive you can each pursue one or the other, but not both. You can every minimize cost or you can aim for the highest prime(prenominal) of product and customize according to the requirements of the market place. Some products are by their temperament standardized. only it is impossible to differentiate the product in the mind of consumer. This tends to establish all the emphasis on cost and therefore on prices. There is no point in the consumer paying extra for the same products. However by K-mart and Sears should use strategies like changing the location of stores in a more appealing destination. Both would need development of new let on brand products, ones that would be lower cost and a higher quality for customers. Question 2Read the short Kmart case study on pages 161-162 carefully and answer the following questionsWhat business competitive strategies were used by each of Kmarts major competitors? Wal-Mart follows a lower cost competitive strategy and cost leadership. For Wal-Mart, strategic thinking is the process of continuously redefining its objectives. matched advantage over its competitors both actual and potential and management of take chances to levels regarded as acceptable by the corporations main stakeholders.