From CEOpedia | Management online
|Methods and techniques|
Aggressiveness strategy of marketing is related to the scope and weight of the competitive techniques and tools used to obtain competitive advantage over other players in the market.
Four degrees of aggressiveness strategy
- prospector strategy - means that the company is dominated by strengths, and there are strongly related opportunities in the environment, it is a strategy of strong expansion and development using both factors as best as possible. Prospectors builds strong competitive advantage using various methods of marketing mix. It bases its marketing strategy on quick response to consumer needs. Aggressive strategy includes such activities as: capturing opportunities, strengthening the market position, taking over organizations with the same profile, concentrating resources on competitive products. It should be noted that this strategy does not involve broad market research activities and comprehensive market data analysis.
- defender strategy - is based on enabling the company to survive or combine it with another one. In the pessimistic version, the company should prepare itself for liquidation. The main goal of this strategy is to secure liquidity in the short term, eliminate or decrease influence of current threats, maintain financial credibility and maximize profit. By adopting this strategy, the company strives to maintain its market position and adapt to existing barriers in the market, strives to operate within its existing market and organizational structure. Managers in defender strategy try to acquire short-term capital and fully exploit the possibilities of self-financing.
- analyzer strategy – managers in this strategy perform broad marketing research and analysis to reduce risk, maintain current revenue, reduce competitors influence. The analyst's manager deals mainly with obtaining information from the organization's environment and internal situation in order to secure the current functioning of the company. It does not take the risk of investing in new markets and products for which there is no certainty of success due to the lack of information.
- reactor strategy - strategy focused mainly on maintaining the status-quo of the company. Managers react only to changes adversely affecting the current operations of the organization (sales, profits, and customer acquisition). The reaction usually takes place only when the negative impact of competition, the state of the economy or the expectations of customers start to have a fundamental negative impact on the financial results and pose a threat to the existence of the enterprise
- Ferrier, W. J. (2001). Navigating the competitive landscape: The drivers and consequences of competitive aggressiveness. Academy of management journal, 44(4), 858-877.
- Fombrun, C. J., & Ginsberg, A. (1990).Shifting gears: Enabling change in corporate aggressiveness. Strategic Management Journal, 11(4), 297-308.
Author: Krzysztof Wozniak