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Assignment:
Company W makes motor vehicles. Several years ago, W restructured its value chain to signi?cantly reduce production costs and improve quality. This was in response to similar activities by Ws major rivals.
Because of This, W has been able to maintain its prices at a similar level to those of its competitors, while continuing to produce a wide range of cars that are tailored to a variety of market segments.
W has recently decided to undertake a signi?cant investment in advertising, as it feels that its brand is one of the most recognised in the market. W wishes to further increase the desirability of its brand, which it feels could allow it to raise its prices slightly in the coming year, while still maintaining its overall sales volume.
According to Porter's generic strategies model, W's current approach to its market is an example of:
0 Cost leadership
0 Focus
0 Stuck in the middle
0 Di?erentiation
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