Strategic Planning

Business organizations usually formulate strategies depending on the size and nature of their business. However, according to the generic strategy concept, a business firm has two determinants to be followed in the industry. On the one hand, it has to be in an attractive industry and on the other hand, it has to strive for maintaining a considerable position in the industry. According to Porter (as cited in Eldering, 2009, p. 6), competitive strategy is the search for a favorable competitive position in the industry and a firm can improve it depending on a firms choice of strategy. He explained that the success of the company depends on the strategy they chose such as cost leadership, differentiation, and focus and a firm, for its smooth running must chose one of the strategies and work