UNCONTESTED MARKET SPACE

Uncontested Market Space

Uncontested Market Space

Introduction

Today with increased competition in the market it is becoming difficult for firms to survive. Companies do not only face competition from the domestic market, however increased globalization has resulted in increase competition from international or the foreign market. Thus this has motivated firms to bring further improvements in their business operations to ensure that they successfully survive the competition by having an edge over their rivals (Watkins, 2007). This has also made difficult for new firms to enter the market and firms that are able to manage to enter the industry they find it difficult to survive the competition. Companies need to develop effective strategies that will assist them in allocating their resources effectively and efficiently. It is the responsibility of the management to ensure that these resources of the business are efficiently utilize so that they incur minimum waste and be able to save their costs (Doole & Lowe, 2008, Pp. 179-182).

Intense competition has made it difficult for firms to enter the market, as firms become more organized this creates barriers for new firms to start their operations in the same industry. There are different levels or stages of a product lifecycle companies that are able to capture larger market are in the maturity phase and are able to achieve market growth. At this stage development of the market has been made. It is important for firms to think strategically to have a competitive edge in the market. However the process is not an easier they need to ensure that management acquires sufficient skills that are needed for business management. It is the responsibility of the organization to develop leaders through training that possesses ability to develop strategic planning that will make certain for the firm to be able to achieve its goals and accomplish its vision successfully (Watkins, 2007).

It is important for organizations to develop boundaries that will guide them to be able to distinguish them from other firms in the industry so that they can define their domain of action. They key driver for setting boundaries is the ability of firm to effectively minimize their costs. These boundaries can also be developed by firms by having a competence view; they need to acquire skills that are competent with others in the industry. To develop boundaries firms need to ensure that they have competitive advantage that would motivate customers to make purchases from their organization and retain them from switching to other companies. This would result in increased revenues for the firm, and simultaneously the company would be able to achieve its objectives effectively. Thinking strategically would result in firms being able to control their business operations. This would lead them to monitor their business operations and critically evaluate the changes that are needed to help them minimize their costs and eliminate processes that are ineffective and inefficient (Nwankwo & Gbadamosi, 2011, Pp. 297-300).

Discussion

It is significant for firms introduced new and innovative products in the market that would make ...