Question: In Paragraph Form! Topic: Cost Leader with Product Lifecycle Focus 1. Segments. Which segments matter to you? How much share of those segments must you

In Paragraph Form!

Topic: Cost Leader with Product Lifecycle Focus

1. Segments.

Which segments matter to you? How much share of those segments must you achieve to be an average competitor in the overall industry?

2. Profit potential

The cost and differentiation pressures will depend on the customer characteristics of each segment. How likely are you to face high versus low cost pressures? How likely are you to face high versus low differentiation pressures? Depending on your chosen segments, your company will need to assess the relative importance of each factor in each segment.

3. Speed

The speed at which you can create a defendable position. For example, new products typically take two years to bring to market. Significant productivity improvements could take several years. 4. Priorities.

Which products are most important to you? Which are least important?

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