Beijing University of Technology Porters Five Forces Model Analysis

Competitive Strategy
Class Learning Outcomes
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Critically evaluate the concepts of VRIO framework
Critically evaluate the concept of Porter’s generic strategies
Use the VRIO framework in an organisational context
Use Porter’s generic framework in an organisational context
Contents
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VRIO framework
Porter’s Generic Framework
Types of Environments
环境类型
Business Environment
Internal Environment
内部环境
商业环境
External Environment
外部环境
Internal Environment
一个组织的内部环境是由组织内的要素组成的，包括当前的员工、机器和设备、
管理、工作和工作流程，尤其是定义员工行为的企业文化
–
–
An organisation’s internal environment is composed of the elements within
the organisation, including current employees, machines and equipments,
management, work and work processes and especially corporate culture,
which defines employees behaviour
Internal environment can be controlled by company 内部环境可以由公司控制
It directly affects the growth of organisation
它直接影响组织的成长
Internal Environmental Analysis
内部分析识别和评估组织的资源、能力和核心竞争力
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Internal analysis identifies and evaluates resources, capabilities and core
competencies of the organisation
Internal analysis looks at the organisation’s 内部分析着眼于组织的
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Current vision, mission, strategies and objectives
Strengths and weaknesses
长处和短处
Why do an Internal Environmental Analysis?
这是识别组织优势和劣势的唯一方法（VRIO 框架）
–
It is the only way to identify an organisation’s strength and weaknesses (VRIO
Framework)
It is needed for making good strategic decisions (Generic Strategies)
制定良好的战略决策需要它（通用战略）
Process of Internal Environmental Analysis
内部环境分析流程
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Internal strategic factors
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Organisational analysis
–
–
内部战略因素
Critical strength and weaknesses to determine if the organisation is able to take advantage of
opportunities and avoid threats 关键优势和弱点，以确定组织是否能够利用机会并避免威胁
组织分析
Concerned with identifying and developing an organisation’s resources and competencies
关注识别和发展组织的资源和能力
Resource Based View (RBV)
基于资源的视图 (RBV)
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Resources
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Capabilities
–
–
谋略
Asset (Tangible and intangible), competency, process, skill or knowledge controlled by the
corporation 公司控制的资产（有形和无形）、能力、流程、技能或知识
能力
An organisation’s ability to exploit its resources
组织利用其资源的能力
Resource Based View (RBV)
独特的能力
核心竞争力
能力
VRIO Framework
VRIO 框架
VRIO FrameworkVRIO框架是一个战略工具,帮助组织识别的资源和能力,给他们一个持续的竞争优势
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VRIO framework is a strategy tool that helps organisations identify the
resources and capabilities that give them a sustained competitive advantage
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It helps an organisation to determine the quality and usefulness of a firm’s
框架是一种战略工具，可帮助组织识别赋予其持续竞争优
resources and capabilities VRIO
势的资源和能力它帮助组织确定公司资源和能力的质量和有用性
– Value chain analysis is the process of looking at the activities that go into
changing the inputs for a product or service into an output that is valued by
the customer 价值链分析是指将产品或服务的输入转换为客户重视的输出的过程
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Companies conduct value-chain analysis to assess every production process
to create efficiency of the production chain
公司进行价值链分析以评估每个生产过程以创造生产链的效率
VRIO Framework
价值—-它是否提供
竞争优势？
稀有性–其他竞争对
手有吗？
可模仿性—
—别人模仿
的成本高吗
组织——企业是
为了开发资源而
组织起来的吗？
VRIO Framework
–
VRIO Framework is an acronym for a four-question framework focusing on
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Value
Rarity
Imitability
Organisation
VRIO Framework 是一个四问题框架的首字母缩写词，专注于
– 价值
– 稀有
– 可模仿性
– 组织
VRIO Framework
–
Value
–
Rarity
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Imitability
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Organisation
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Do you offer a resource that adds value for customer? 您是否提供为客户增加价值的资源？
Are you able to exploit an opportunity on neutralise competition with an internal ability?
您是否能够利用内部能力消除竞争的机会？
Do you control scare resources or capabilities? 你控制稀缺资源或能力?
Do you own something that’s hard to find yet in demand? 您是否拥有一些难以找到但又很受欢迎的东西
？
复制组织的资源或能力是否昂贵？
Is it expensive to duplicate your organisation’s resources or capabilities?
Is it difficult to find an equivalent substitute to compete with your offering?
很难找到与您的产品竞争的同等替代品吗？
Does your organisation have organised management system, processes, structures, and
culture to capitalise on resources and capabilities?
你的组织有组织管理体系、流程结构,利用资源与能力和文化?
VRIO Framework for Google
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Value: Use human capital management data to hire and retain innovative,
productive employees 使用人力资本管理数据来雇佣和留住创新、高效的员工
Rarity: No other companies using data-driven employee management so
extensively : 没有其他公司如此广泛地使用数据驱动的员工管理
Imitability: Date-based human capital management is both costly and difficult
to imitate, at least for near future 基于日期的人力资本管理既昂贵又难以模仿，至少在不久的将来是这样。
Organisation: Google is organised to capture value from this capability
组织：Google 的组织旨在从这种能力中获取价值
Strategy Framework
战略框架
内部分析完成后，下一步就是为公司制定战略方向
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Once the internal analysis is done, the next step is to formulate the strategic
direction for the company
One of such tools is Generic strategies
此类工具之一是通用策略
Introduction
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Michael Porter is a professor at Harvard Business School
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A firm’s success in strategy rests upon how it positions itself in respect to its
environment 一家公司在战略上的成功取决于它如何根据环境定位自己
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Michael Porter has argued that a firm’s strengths ultimately fall into one of two
(Michael Porter) 认为，公司
headings: cost advantage and differentiation 迈克尔·波特
的优势最终分为两个标题之一: 成本优势和差
–
异化
By applying these strengths in either a broad or narrow scope, three generic
strategies result; 通过在广泛或狭窄的范围内应用这些优势，可以产生三种通用策略；
–
Cost leadership, differentiation, and focus
成本领先、差异化和专注
通用战略
成本优势
差异化
聚焦
通过更低的
成本获得更
高的利润。
专注于市场的有限部分
沃尔玛
创造一种在整个行业中被认
为是独一无二的产品或服务
Porter’s Generic Strategies
目标范围
Target Scope
Advantage
(Low Cost)
优势（低成本）
Broad (Industry Wide)
Advantage
(Product Uniqueness)
优势（产品独特性）
Cost Leadership
Differentiation
Focus Strategy
(Low cost)
Focus Strategy
(Differentiation)
广泛的（行业范围）。
Narrow (Market Wide)
狭窄的（市场范围）
重点战略（低成本）
重点战略（差异化）
Cost Leadership Strategy
成本领先战略
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Aiming to become Lowest Cost Producer
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The aim can compete on the price with every other industries and earn higher
unit profits 该目标可以与其他行业在价格上竞争，并获得更高的单位利润
以成为最低成本生产商为目标
降低成本是组织战略的重点
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Cost reduction provides the focus of the organisation’s strategy
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Target can be broad market
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Competitive advantage is achieved by driving down costs 竞争优势是通过降低成本来实现的
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A successful cost leadership strategy requires that the firm is the cost leader
and is unchallenged in this position 成功的成本领先战略要求公司是成本领先者并且在这个位置上不受挑
–
目标可以是广阔的市场
战
Especially beneficial, where customers are price sensitive
尤其有益，因为客户对价格很敏感
Cost Leadership Strategy – example
Walmart, USA
– The central goal of Walmart is to keep retail price low, and the company has
been very successful at this 沃尔玛的核心目标是保持低零售价，该公司在这方面非常成功
– Experts estimate that Walmart saves shoppers at least 15 percent on a
typical cart of groceries 专家估计，沃尔玛为购物者节省了至少 １５％ 的典型杂货购物车
– Walmart Stores Inc. is rolling out its “everyday low prices” (EDLP) retail
strategy to more international markets to replace the more usual high-low
pricing in emerging markets 沃尔玛商店公司正在向更多的国际市场推出其“日常低价”
零售战略，以取代新兴市场中通常的高低价
– EDLP means working with suppliers to ensure their prices are constantly low,
but also means price changes are kept to a minimum
ＥＤＬＰ 意味着与供应商合作以确保其价格始终处于较低水平，但也意味着将价格变化保持在最低限度
Cost Leadership Strategy – example
Walmart, USA
沃尔玛还采用了与系统配合使用的良好结构，以增强低价策略
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Walmart also employs a good structure that works with the systems to
empower the low price strategy
–
Walmart has in place a set of systems that help it achieve its strategy of low
prices everyday 沃尔玛有一套系统帮助其实现每天低价的战略
Cost Leadership Strategy – Success Elements
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Access to the capital required to make a significant investment in production
of assets 获得对资产生产进行重大投资所需的资本
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Design skills for efficient manufacturing
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High level of expertise in manufacturing process engineering 制造工艺工程方面的高水平专
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Efficient distribution channels
高效制造的设计技巧
业知识
高效的分销渠道
成本领先战略 – 涉及的风险
Cost Leadership Strategy – Risks Involved
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Other firms may be able to lower their cost as well
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As technology improves, the competition may be able to leapfrog production
capabilities, thus eliminating the competitive advantage
其他公司也可以降低成本
随着技术的进步，竞争可能会超越生产能力，从而消除竞争优势
–
It could lead to a damaging price wars
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There might be difficulty in sustaining cost leadership in the long run
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从长远来看，维持成本领先地位可能会有困难
这可能导致破坏性的价格战
A firm following a focus strategy might be able to achieve even lower cost
within their segment
Differentiation Strategy
差异化战略要求开发提供客户重视的独特属性的产品或服务
–
Differentiation strategy call for the development of a product or service that
offers unique attribute that are valued by customers
客户认为产品与竞争对手不同且更好
Customers perceive the product to be different and better than that of rivals
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The value added by the uniqueness of the product may allow the firm to
charge a premium price for it 产品的独特性所增加的价值可能允许公司为其收取溢价
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Differentiation can be based on the product image or durability, after-sales,
quality, additional features etc. 差异化可以基于产品形象或耐用性、售后、质量、附加功能等。
–
It requires flair, research capability and strong marketing
它需要天赋、研究能力和强大的营销能力
Differentiation Strategy – example
McDonald’s
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McDonald’s customers are of all classes, but largely working and middle
classes, and people of all ages 麦当劳的顾客来自各个阶层，但主要是工薪阶层和中产阶
层，以及各个年龄段的人
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McDonald’s strive to meet a customer wait time at no more than one minute
in line, and 30 seconds at the counter 麦当劳力求排队等候时间不超过一分钟，柜台等候时
间不超过30秒
Differentiation Strategy – example
–
McDonald’s Happy Meal, with a $0.50 toy, hamburger, french fries, and coke.
They market it for Kids 麦当劳快乐餐，含 0.50 美元的玩具、汉堡包、炸薯条和可乐。 他们为孩子们推销它
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McDonald’s knows that some customers go to its stores to take a quick break
from their day’s activities and not because McDonald’s was able to make their
food ten seconds faster than a competitor. So McDonald’s marketing
executives then put together the phrase, “Have you had break today?”
麦当劳知道，有些顾客去其商店是为了在一天的活动中稍作休息，而不是因为麦当劳能够比竞争对
手快十秒地制作食物。 因此，麦当劳的营销主管将这句话放在一起，“你今天休息了吗？”
Differentiation Strategy – Success Elements
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Access to leading scientific research
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Highly skilled and creative product development team 高技术和创新产品开发团队
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Strong sales team with the ability to successfully communicate the perceived
strengths of the product 强大的销售团队成功沟通的能力感知产品的优势
–
Corporate reputation for quality and innovation
公司以质量和创新
领先的科学研究
Differentiation Strategy – Risks Involved
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Involves higher costs
–
Customers might become price sensitive and choose on price rather than
uniqueness 客户价格可能会变得敏感和选择在价格上而不是唯一性
–
需要更高的成本
客户可能不再需要分化的因素
Customers may no longer need the differentiation factor
模仿的竞争者和顾客口味的变化
–
Imitation by competitors and changes in customer tastes
–
Rivals pursuing a focus strategy may be able to achieve even greater
differentiation in their market segment
竞争对手采取集中战略可能会取得更大的差异化细分市场
Focus Strategy
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The focus strategy concentrates on a narrow segment and within that
segment attempts to achieve either a cost advantage or differentiation
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The premise is that the needs of the group can be better serviced by focusing
entirely on it
–
A firm using a focus strategy often enjoys a high degree of customers loyalty,
and this entrenched loyalty discourage other firms from competing directly
Focus Strategy
–
Because of their narrow market focus, firms pursuing a focus strategy have
lower volumes and therefore less bargaining power with their supplies
–
However, firms pursuing a differentiation-focused strategy may be able to
pass higher costs on to customers since close substitute products do not exist
Focus Strategy – PepsiCo
–
By successfully adopting the ‘focus’ strategy since 1997, PepsiCo has
emerged as the second largest consumer packaged goods company
–
The company has significantly strengthened its competitive position in the
beverages segment
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By acquiring leading beverages’ company like Tropicana, South Beach
Beverage company and Quaker Oats
Focus Strategy – Success Elements
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Lower investment in resources
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The firm benefits from specialisation
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Provides scope for greater knowledge of a segment of the market
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Makes entry to new markets easier and less costly
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Firms using a focus strategy often enjoy a high degree of customer loyalty
Focus Strategy – Risks Involved
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Limited opportunities for growth
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The firm could outgrow the market
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Danger of decline in the chosen segment or niche
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Risk of imitation
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Risk of changes in the target market
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A reputation for specialisation inhibits move into new sector
Recap
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Internal Analysis
Resources Based View
VRIO Framework
Cost leadership
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Differentiation
–
Focus
–
Being the lowest cost producer in the industry as a whole
The exploitation of a product or service which is believed to be unique
Restricting activities to only part of the market through;
– Providing goods or services at a lower cost to that segment (cost focus)
– Providing a differentiated product or service to that segment (differentiation focus)
Class Activity
–
Analyse the internal environment using VRIO framework for a selected
organisation
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Formulate a strategy for the selected organisation using Porter’s Generic
Strategies
Thanks for Listening
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Question and Answers
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