... the firm's product or service distinctive * Focus strategies - competitive strategies based on targeting a specific niche within an industry. These different competitive approaches are known as generic strategies, a concept developed by Michael Porter. All three generic strategies are designed to achieve a distinction relative to a rival. The latest of PM's diversification efforts was entering into the food - processing industry. This segment contributed 49 per cent of the company's revenues and 30 per cent of operating profits in 1992. PM entered this segment via two major acquisitions-General Foods acquired in 1985 and Kraft, Inc., acquired in 1988, both hostile takeovers. It is revealed within the case study that Phillip Morris used a combination of generic strategies - mainly low cost leader and somewhat less, differentiation strategies. Shown below is a value chain, summarising the main activities that typifies a differentiation approach to gaining competitive advantage. The value chain is a ...

See this essay or coursework document in full right now