Generic and Value Adding Strategies of Christian Dior and Balenciaga Free Essay Example, 2500 words

Strategies of firms are considered to lean towards the strategic scope focusing on the demand, and the strategic strength concentrating on the supply. Porter (1980) further simplified the method by reducing the strategy to three specific dimensions, which included: cost leadership, differentiation, and segmentation. These aspects are also present in the companies discussed in the previous segment. From these general strategies, specific schemes of operations are designed. Since Christian Dior and Balenciaga are in the same industry, it is important to analyze both companies approaches. Focus on a single product design is the key to efficiency. This is the usual method used by Balenciaga to create its products. Most of the employees of the company are from within the group, and the lean but mean workforce structure is evident in the Balenciaga s desire to be efficient. The efficiency of the house is observed in most of its stores. The spacious area houses most of the products arrange d with efficiency. Store managers are making constant evaluation especially with the performance of the employees. The company continues to aim at lessening its costs of operations without sacrificing quality. The process of differentiation is guided by the skills that are enhanced by the designers of the company. We will write a custom essay sample on Generic and Value Adding Strategies of Christian Dior and Balenciaga or any topic specifically for you Only $17.96 $11.86/pageorder now In addition, the distribution channels of the company are strong with the help of Gucci and other subsidiaries within the group. Basically, the company focuses on the quality of the products and its appeal to the consumers. In addition, the focus strategy of the company has been celebrities and other well-known individuals. Christian Dior values efficiency more than the other attributes that the company promotes. The fashion group has the most number of employees and it provides better manpower in the production. In addition, delegation tasks are simpler because of the vast workforce expertises.