Competitive Strategies In Global Market

Question: Discuss about the Competitive Strategies In Global Market. Answer: Introduction In the modern global era, there has been a rise in the competition among the companies functioning in the global market in order to earn profit and maintain competitive edge. Hence the companies have developed competitive strategies in order to maintain their competitive edge in the market. In this paper computer industry has been chosen and four premiere organizations comprising of Xero, Atlassian, IBM and HP Inc. An in-depth analysis of the target market and the mode of entry of Xero and Atalassian would be discussed and on the other hand, an assessment of the global supply chain of IBM and HP Inc would be disclosed effectively. The analysis would be undertaken by taking help of the AAA theory framework. It is seen that the organizations primarily concentrate in any one of the three strategies as making use of all three would lead to tensions and differences among them. Hence the organizations look to implement any one of the three according to their business objectives. Target Market and the Mode of Entry The target market refers to the consumers and the customers the organizations focus on in order to sell their product and even the products they manufacture and the services they provide are based on the looking at these consumers. The mode of entry refers to the process undertaken in order to enter the market for the companies. An explanation of the target market and mode of entry of Xero and Atlassian are given below: Xero With respect to the AAA framework, it is seen that Aggregation and Adaptation strategy has been used by Xero from the AAA framework as it looks to increase their economies of scale and share in the market. It has mainly been observed that most of the computer companies have concentrated on the large business markets and have offered services to them in order earn huge profit. However, Xero has utilised the underserved small business market that is existent in Australia with respect to technology and has focused on delivering their products and services to the large section of the small business market thereby attracting a large pool of the customers and earning a significant amount of profit (Xero Accounting Software 2017). The strategy of targeting the small business market even increases their market share and Xero enters the market with the help of effective promotions and attractive offers that influences the small business market to purchase their product effectively. Atlassian With respect to policies undertaken by Atlassian, it is seen Adaptation strategy has been exploited by Altassian, which is a leading computer company that is operating in Australia. Their main target market has been the software developers functioning in Australia locally as they are the ones who can effectively make use of the services that are offered by Atlassian (Atlassian 2017). The services and the products provided by Atlassian have been in accordance to the developers so that they can make use of them in order to provide services to the final parties. The mode of entry has been a free one as there are no restrictions in the computer sector and therefore with the help of effective strategies has been able to enter the market. This aids in the rise in the market share of the organization. Globalising the Supply Chain The process of globalising the supply chain involves spreading their chain of business all over the globe. In this respect the strategies incorporated by IBM and HP Inc has been explained as below: IBM IBM being a renowned software organization incorporates the Aggregation and the Adaptation strategy. IBM has an effective globalsupply chain management process with the help of which they have been able to function with various customers throughout the world. They have been using their supply chain in order to maintain their transformation process with respect to the changing market (Ibm.com 2017). They have been able to take the benefit out of the global optimization and consolidating the operations of the factory and thereby simplifying their product. Thesupply chain management of the organization includes addressing each and every phase of the supply chain from the designing to the source in order to plan and construct for distribution. The supply chain globalising has been possible with the help of the supply chain strategy, supply chain planning, enterprise applications, logistics, assetmanagement and product lifecyclemanagement that has aided the company with an effective globa lised supply chain. All these processes have been in line with the local market of Australia and they have been in the idea of raising their economies of scale by making use of these strategies. HP Inc HP Inc tries to make use of the Adaptation strategy. The globalised supply chain has been significant for the company and they have been concentrating on the communicating with the customers to take a feedback and thereby delivering the services in order to gain customer satisfaction (Www8.hp.com 2017). The main aim of HP has been to go above the expectations of the customers and deliver a competitive edge for the business and their partners. They have been able to provide such an effective globalised supply chain mainly due to their cross-functional team that has been operating all the organizations and thereby delivering the supply chain strategy framed by the organization. The exploitation of the feedback of the customers acts as the local adaptation incorporated by the firm in oer to improve their level of operations. Conclusion This paper therefore highlights the various strategies that have been implemented by the four companies and how they have been effective enough to maintain their competitive edge by making use of the same within the company. References Atlassian. (2017). Atlassian | Software Development and Collaboration Tools. [online] Available at: https://www.atlassian.com/ [Accessed 28 Sep. 2017]. Ibm.com. (2017). IBM - Australia. [online] Available at: https://www.ibm.com/au-en/ [Accessed 28 Sep. 2017]. Www8.hp.com. (2017). Laptop Computers, Desktops, Printers and more | HP Australia. [online] Available at: https://www8.hp.com/au/en/home.html [Accessed 28 Sep. 2017]. Xero Accounting Software. (2017). Online Accounting Software Free Trial, Free Support | Xero. [online] Available at: https://www.xero.com/au/ [Accessed 28 Sep. 2017].