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The competition matrix is a term from the strategy development, imported from Michael E. Porter 1983, to the product politics in marketing for individual business fields of an enterprise. Porter tries thereby a systematization of the possible strategies, which an enterprise can pursue, in order to provide in the relevant market a competition advantage. Porter arranges the competition strategies according to the possible strategic goal and according to the strategic advantage which can be used by the enterprise and receives three fundamental strategy types (see illustration):

  • Differentiation (preference strategy)
  • Cost leader shank (price quantity strategy)
  • Focusing

Porter offers thereby a simple and directly accessible view. The simplifications are frequently criticized and to concern in particular the points the fact that the systematization looks exclusively from the enterprise and to other enterprises ignores interdependences and that it is naturally possible to pursue several strategies. Beyond that the field "“focusing"” was prepared by Porter only little.

Literature

  • Michael E. Porter, competition strategy, Frankfurt 1983

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