Frameworks
Porter's generic strategies
Compete on lowest cost, on being different, or by focusing on a niche.
Last reviewedWhat does Porter's generic strategies mean?
Michael Porter described three generic strategies (1980): cost leadership (be the lowest-cost producer), differentiation (offer something customers will pay more for), and focus (apply either one to a narrow segment). He warned that a firm trying to do all of them at once risks being "stuck in the middle".
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Related terms
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