business strategies are the tactics a company uses to implement business planning which allows you to achieve certain previously defined goals. So, business strategy guides the work of any company.
In this article we will talk about the concept of Business strategy: a fundamental concept in any business. From SMBs and startups to large corporations, everyone needs to define one in order to scale their brand.
Definition of business strategies
Business strategies are the set of Techniques, methods and tactics executed to conform to plan the goals of a company.
With the commercial objectives established, the business strategy aims to carry out the actions to achieve the proposed results in the short, medium and long term.
Business strategy goals
Depending on its size and history, each company can set different goals to be achieved. In addition, there are other factors that have an influence, such as B. the type of market it is dedicated to or the stage of the product life cycle that an item it sells is in.
In this sense, enables the design of business strategies that are focused on results Map out a clear path of what steps you need to take to sustain growthstarting from the base where you are.
Now let’s see the main goals to be achieved with a business strategy.
📣 Market Penetration
📈 Brand growth
🥇 Industry leadership
🏁 Financial strength
For small businesses or businesses just starting out, the primary goal is usually Start to position yourself and enter the market niche to which they want to devote themselves.
In these cases it is very common (and recommended) develop an MVP, i.e. the minimum viable product. This first version of the product to be marketed with the basic attributes essential for its basic operation.
This is one of the most common goals because whether you are taking your first steps or are already established, Every brand wants to keep growing.
The business strategy aimed at scaling them can refer to multiple goals Specific. Some examples are:
- offer more and more diversity in your product catalogue.
- increase the size the company.
- Have more impact in the market to which it belongs.
- To get better the products or services it offers to specialize.
- Overcome to the competition.
- Extend its borders into new geographic areas.
With sustained growth comes the time when business strategy is aligned with the idea of be the maximum referrer in a given niche.
The reasons you are in this phase may be because you are offering a product of excellencebecause of the age and development of your company or because you go hand in hand with your main competitor.
Whatever the reason, companies that manage to position themselves as product leaders are always there a competitive environment. That means they have to develop increasingly robust business strategies to sustain them over time.
As a company grows and gains ground in its market, this is necessary ensure the economic benefit achieved. Here, the measures are aimed both at securing profits and at promoting economic stability.
Every company must ensure a minimum level of financial strength guarantee their continuity and encourage their development.
Business strategies: 3 examples
It’s time to complete some specific cases Understand these concepts and transfer them to your company.
Each example of a business strategy depends on the specific conditions and characteristics of the company. As already mentioned, circumstances such as financial capacity, age or size determine which techniques are best to use.
In supermarkets like Carrefour or Coto we have the opportunity to buy clothes, electrical appliances or household items a value below that of a specialized native.
Besides these well-known companies, we can imagine an online business that cannot bear the expense of a physical location offer competitive prices.
💡 If you have a place on the street, your business strategy of offering cheap prices can aim to create an online store.
Also called “lock in“This business strategy involves marketing a product that is difficult to obtain or imitate for the competition. Here we are dealing with brands that have become so canonical that we almost confuse them with the product itself, such as Coca-Cola.
This tactic promotes strong long-term customer loyalty since the consumer cannot find the item elsewhere, he always goes to the same brand.
Another good example is Tiendanube That’s Merry Christmas. This brand is aimed at its specific niche and was part of its business strategy to buy the original licenses of brands like Disney, Friends or Harry Potter offer unique products.
Therefore, they achieve their exclusivity tactics by captivating the audience they undoubtedly have as a reference when it comes to finding clothes with designs from popular series, movies and games.
leadership in a market
Some good examples are Apple in technology or Salomon in mountaineering products. The value of the products is higher than other brands on the market, which allows for higher prices.
To give a local example, we would like to mention the Rasti Cloud Store, which created its own brand of toy bricks until it managed to fulfill the dream of becoming the Rasti manufacturer in Argentina. This made them the market leader in their market!
What do you think of this tour of the various business strategies, its goals and examples? With a good business plan, your brand can scale significantly!
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Dare to try Tiendanube today, we invite you for the first 30 days!