FREE ESSAY ON STRATEGY PAPER

STRATEGY PAPER

Michael Porter's video discusses how to gain competitive advantage and profitability in
the market place using specific strategies. Competitive advantage is the positioning of a
company in its competitive environment. The starting point and key to have superior
competitive advantage is to "improve faster than the competitors can catch up", and this
requires strategies.
One of the strategies is broad differentiation. Broad differentiation is having a unique
benefit over the competition. In other words you need to market a product or service that
customers think is important and identifying with the number of different needs that the
customers have. American Airlines uses this strategy and it works very well for them.
They know what their customers want and don't want and that is essential. This airline
knows that their passengers have somewhere to be and that some of them our on a very
tight schedule, so they don't have time to be delayed or even bumped to another flight.
Their customers are important to them and like any business or company they are vital to
their survival. American airline also differentiates themselves from their competitors
through they're advertising and award programs.
Another company that uses the broad differentiation strategy is U.S. 
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Cellular. They stress having services that are relevant to building relationships with
their customers. They provide services for people with different and unique needs, rather
it is used for personal uses, business uses, or for security. U.S. Cellular also offers
accessories or their customers. They have easy access for their customers, which allows
their customers to shop on the Internet or go to their local business in your area. They
also market their products in shopping malls or the super center Wal-Mart. This wireless
service communicates the value of their customers through advertising. Also through
advertising they stress the quality of their services. This company/business also
communicates the value of their customer service to their customers; they want to keep
them happy with the service that they have chosen. Customers always have doubts about a
purchase, and United States Cellular makes sure that they have no regrets or problems
with their service.
Broad differentiators like United Sates Cellular and American Airlines have to be moving
targets in today's market. Competitors are sneaking up quickly and like Michael Porter
said "you have to be one step ahead of your competitors"