# 3.5 The Strategy Clock Channel: MeanThat Video: https://www.youtube.com/watch?v=D-mqpz3U-2U Duration: 4 min Language: English Words: 514 Transcript page: https://viewrankai.com/tools/youtube-transcript/D-mqpz3U-2U --- [0:00] hello and welcome to another video in the module where we discussed generic and also interactive competitive strategies I think it's just the time to conclude the first part of this module where we talked about generic competitive strategies around about sort of generic approaches to how do we do business we discussed what the cause leadership is for the differentiate race and what the focused strategies I found a nice model which is called the strategic lock which nicely concludes these free strategies and sort of wraps them up so let's look at it this is how strategic work looks like as you see on the horizontal axis we have price and on [0:44] the vertical axis we have perceived product benefits based on these two dimensions we can position discussed strategies first of all when you look at the lower right part this is what we call non-competitive strategies so we essentially have two high price with two low quality we just cannot be competitive in here secondly on a pro right part we have differentiation strategies on upper left are hybrid strategies and lower left are low-cost strategies let's take a more detailed look into each one of these we start off with the differentiation zone this zone contains a range of feasible strategies for building on high perceptions of product or service benefits amongst [1:33] customers now starts the fun with strategy Kok if we look at around 12 o'clock we have a differentiated product already but not that high price this is called differentiation we found price premium this position is commonly used to gain a market share for differentiator once a differentiator is happy with his market share he will move closer to one or two o'clock low price all allows for different combination of prices and low perceived value here we again can distinguish where a position is that company aims for if it wants to gain a market share and that is around nine o'clock here the perceived benefit by a customer is high while price is [2:23] very low again once the desire market share is a chilled low-cost leader will try to move toward seven o'clock to maximize profit hybrid strategy zone involves both lower prices than differentiation strategies and higher benefits than low price strategies here degrade this example that comes to my mind is IKEA furniture stores on one hand you combine extremely low cost of production especially due to economies of scale and at the same time very distinctive Swedish design which by many customers is perceived as premium as you can see this was the strategy clock weakened in one picture nicely wrap up all three different generic competitive strategies I hope it helps if you in the [3:13] future will try to recall hey what was this low-cost the road was this differentiation strategy and how should I achieve sort of higher market share when I'm differentiator or and the cost leader that was the strategy clock I'm looking forward to see in the upcoming videos where we will discuss interactive competitive strategies --- About this transcript Read from YouTube's own caption track and laid out by ViewRank AI (https://viewrankai.com). ViewRank AI finds the videos already beating a creator's own average on Instagram, TikTok and YouTube Shorts, transcribes them from the audio itself in more than 60 languages, and turns what worked into new ideas and scripts. Free transcript tools, no account needed: https://viewrankai.com/tools How to read any video this way: https://viewrankai.com/llms.txt