ASSIGNMENT: STRATEGIC MANAGEMENT

SUBMITTED BY: ZAHID MASOOD

REG. NO. MSCI211501011
MSMS 3rd SEMESTER
SUBMITED TO: SIR. SHAHID HUSSAIN
 Brief Summary of the Case Study

Today's competitive advantage may become tomorrow's acute challenge or

disadvantage until and unless the strategy makers adjust themselves to changes in
the prevalent market conditions. Henry Ford's emphasis has been punched
alongside General Motors' product-line breadth as a key factor to success. Steep or
soaking economies of scale exist when there are high fixed vs. variable costs in the
predominant business model in which dominancy of some factors exists.

A technician can easily take a blood sample from a living body and can easily
compare the pattern in the patient's genes with a standard template and can
similarly diagnose specifically which leukemia is present. Understanding of the
human genome model in the body will flatten the scale in clinical trials. Small
fabrication facilities, or minicabs, could reduce the fixed costs of production by the
concept of economies of scale.

When customers learn the technique or understand the concept that where they will
have to go to get what they need or desire, then eventually portals' competitive
advantage becomes a disadvantage in that particular case. Online trading or online
shopping is seemingly appearing to be following a similar pattern mentioned
above.

Cisco and other non-integrated companies, which outsource or hire much of their
manufacturing and product development related costs to partners or startup
companies. These companies subsequently acquire through this model, that is the
envy or main strategy of today's corporate strategy makers. But what are the
circumstances that confer advantage on integrated and non-integration companies?
IBM's development of magneto resistive (MR) disk-drive recording heads in the
early 1990s is an example of that kind of development. Magnetic Resistive heads
can increase a disk's capacity of performing by a multiplier of 10, but achieving
that level is not an easy task. Technology to measure those attributes is not well-
developed in the system, and engineers can't predict it easily and at an accurate
level.
Focused, non-integrated companies emerge to provide specific pieces of value-
added services in their products and services. The opposite extreme side of the
computer industry illustrate the advantages of each structure as per above traits.

As Cisco moves up into the most performance oriented demanding linkages of its
markets, it is being now forced to integrate. Some types of competitive advantage
are rooted in market positioning and others in business models. Successful strategy
makers need to put on board a deep understanding of the processes of competition
& mechanism of market competition. Any company can specifically mention the
properties & attributes needed in a material and then can use theory-based
competitive advantage that is predicated upon a particular set of conditions that
exist at a particular point in time for particular set of reasons. The importance of
existence of competitive advantage sets in motion creative innovations that cause
the advantages to disappear gradually with the passage of time. Successful strategy
makers need to cultivate a deep understanding of the processes of competition and
progress to determine which atoms need to bond or link with which atoms.