Why might product differentiation be important to consider in strategy development and reformulation?

Product differentiation may be important to consider in strategy development because the overall picture is, we are all selling drones and cameras. To stay competitive, we need a strategy to allow our product to stand out and be different from all the other companies. A plan should include the following, the niche market for this product, the special factor that will allow it to be distinguished and the speed at which this change can be implemented effectively. If your product becomes just another item on the shelf next to something similar and there is nothing about it that allows it to stand out from the rest, the consumer would likely just pick and item and go with it. So next to each other there is a 50/50 shot they pick your product. It must stand out among the rest of the items, and for specific reasons that are enticing to the consumer.

What external factors should be considered when reformulating strategy choice?

Some of the external factors that should be considered when re-formulating the strategy choice would be the current market condition, the competitive analysis of the others, and by utilizing the SWOT analysis specifically looking at the opportunities and threats. If the current market conditions swaying one way or another it will be defined in the choices, you make when strategizing your plan. When reviewing the analysis of the other competitors in the market, its important to determine what opportunities are available in that and what are incoming threats, and how to navigate around those. Developing a strategy to navigate those and push them out as threats and consuming the opportunities will set you above the rest.