Various types of defensive strategy.
Ans- Defensive strategies can take two forms-
(01) Blocking challengers:
There are many ways to throw the obstacle in the path of challengers. Such as Participate in alternative technology to reduce the threat that rivals will attack with be better technology. Depended can introduce new model, features of his product. Try to discourage buyer from trying competitor’s brands via such action as increase warranty coverage. Develop capability of deliver spear parts to user faster than rival.
(02) Signaling the likelihood of strong relation-
(i) Publicly announcing management commitment to maintain the firm’s present market
share.
(ii) Publicly committing the company to match competitions terms or prices.
(iii) Maintaining a war chest of cash and marketable securities.
(iv) Making an occasional strong counter response to the moves of weak competitors to
enhance the firm’s image as a tough defender.
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