Cost Leadership Strategy Business Comparison

Cost Leadership Strategy Business ComparisonIdentify two very different organizations that compete on a apostrophize attractership strategy and explain how they do this, i.e. find out what they do that enables them to keep their prices low.IntroductionWhat is difference between film director and a leader? This is a question that asked more than nonpareil and answered in many ways. The big difference between manager and a leader is they motivate peoples who work or chase them. By the way , many peoples are act in both roles , they have the management jobs, but they realize that they can non buy affectionateness ,especi in ally sweep up them d feature a diffcult path, and so act as leaders too.1.1 ManagerManagement which is the organization and coordination of the activities of an enterprise in accordance with certain policies and in achievement of defined objectives. A Manager is the person responsible for planning and directing the work of a group of individuals, monitorin g their work, and taking corrective act when necessary. Managers have a position of authority vested in them by the company, and their subordinates work for them and largely do as they are told.As a manager, in all his work within the scope are under the management and administrative. Managers are paid to get things done, they are subordinates too, often within tight constraints of time and money. They frankincense naturally pass on this work focus to their subordinates. Work under the administrator is qualified for all work and maintain, without change. As a manager in the management all structures and systems are oriented. All the positions are set by the system, and work is also to go along with the system. In the management system, managers are organism controlled, including time, work, and salary. In other way , the manager need to focus on bottom line and control the complete the attention of all the work run into the assembly line. Leadership is just one important component of the directing function. A manager cannot just be a leader, he also need formal authority to be effective. For any quality initiative to conduce hold, senior management must be involved and act as a role model. This involvement cannot be delegated.1.2 LeaderLeadership which is academics have great difficulty in defining what a leader is, or pinpointing the reason freighter an organisations success. A leader who impact the realization of a goal to achieve a group of people. A leader by its meaning is one who goes first base and leads by example, so that others are motivated to follow him. This is a basic requirement. To be a leader, a person must have a ingrained commitment to the goal that he will strive to achieve it even if nobody follows him.As a leader, should have innovative ideas and the establishment of a management system without having to be free of innovation. And this will correct a leaders ability.When a leader of the freedom of growth and growth. Leader develo pment foc exercises on the development of the leader, much(prenominal) as the personal attributes desired in a leader, desired ways of behaving, ways of thinking or feeling. The other set of behaviors is referred to as people-oriented style, where the leader provides a more supportive role in providing a positive work environment. In a group where all the members do not intromit the system to be controlled, the development of all are free. And all the members are relying on trust to maintain. Besides , as a leader need take care of his let group and motivate the group. The leaders just need to focus on the horizon members only and teach the horizon members to lead their own groups. This will lead the team with team spirit.1.3 Manager and LeaderManagers think incrementally, whilst leaders think radically. Managers do things right, while leaders do the right thing. This representation that managers do things by the book and follow company policy, while leaders follow their own int uition, which whitethorn in turn be of more bring in to the company. A leader is more emotional than a manager . Men are governed by their emotions rather than their intelligence . This quotation illustrates why teams choose to follow leaders. Leaders stand out by being different. They question assumption and are suspicious of tradition. They seek out the truth and make decisions based on fact, not prejudice. They have a preference for innovation.A leader is someone who people naturally follow through their own choice, and managers must comply. A manager may only be passed to give the company time and the power of loyalty to their own position, not because of his lead results. A leader may not have organizational skills, but his vision of the people rally behind him.1.4 ConclusionManagement and leadership are two different ways organizations. Managers use a formal, rational method, and the use of the leaders of the enthusiasm and aroused emotions. William Wallace is a commodity e xample of a wise leader, but must not be considered manager.2.0 IntroductionOperating a successful business strategy is based. But there are, of course, different types of business strategy. Among one of the business strategy is cost leadership strategy. Companies choose cost leadership strategies unique features or customer can accept the relatively stock(a)ized product. In other words, with the net levels of differentiation and the lowest price competitive. Companies want to be a cost leadership strategy the following must be maintained at lower costs, create order for our customers ongoing efforts to target success.2.1 Mass MarketMass marketing is product advertising maximum exposure to consumers. This is opposite to where the idea of niche markets and sell products is to agitate a specific target market. The target market is identified through research as the just about likely to buy a product to consumers go bad of. Mass marketing also operating the business with products caters for all or public which sell considerably cheap in the perception of consumers. Take a look in a example that Ramly burger and Macdonald burger , Ramly burger is cheaper than Macdonald burger because Ramly burger just a normal tiny business and Ramly burger just only can buy in Malaysia. Macdonald more expensive because it is an international networking business and their cost is higher , some more need register trademarks and a lot of uprightness enforcements stuffs to protect their rights. Besides , Macdonald is one of the top global brands, branding is expensive need a lot of constant advertising.In other way , how does the Ramly burger to keep their price low? By reducing cost , Ramly burger no need to actually rent a land or building to sell , just need to place at a roadside stall to sell it. The supplier also will be cheaper and this make all the cost lower already. Ramly burger dint provide a good enviroment for customers just at the roadside , so the cost will redu ce too. Some more , Ramly burger no need to register trademarks and a lot of law enforcement stuffs so their cost will be lower. Besides , process for make the burger is easier and faster also , customers just need to wait about few legal proceeding only. Ramly burger provided a good services such as faster ,cheaper and easier.2.2 Niche MarketNiche market focus on a small population, but specific and clear of all marketing segments. Niches do not exist, but create to determine the needs, desires and not being addressed or not by other companies, and develop and deliver goods or services to meet their requirements. Niche market operating with products cater for a particular segment of consumers which sell at considerably cheap but premium in the perception of consumers. As a strategy, niche marketing is aimed at being a big lean in a small pond instead of being a small fish in a big pond. For example , Old townsfolk Coffee Shop and Starbucks Coffee Shop , even though Starbucks mor e expensive than Old Town but still have many peoples voluntary to pay the premium price for the Starbuckss coffee. Starbucks more famous than Old Town , can be contrast with the brand. Then, Starbucks provide internet access and better enviroment compare with Old Town. Old Town cheaper than Starbucks and a lot types of drinks and foods to order too. Starbucks coffee is more expensive because the cost is higher and Starbucks there have varieties of coffee such as latte , cappuccino , espresso , blended and many more.Why peoples willing to pay premium price for the products? Now the people of this age, everyone says the standard of living, it is necessary to improve their standard of living, with a good eat well, so now the people of this age are willing to spend a lot of money in his own body, so let his comfort. Even the Starbucks productss price is higher but still have a lot peoples willing to pay the premium price for the coffees to improve their standard of living. Besides, s tarbucks coffee has many types of tricks such as latte, cappuccino, espresso, blended and many more, is because of this it has attracted many customers willing to pay premium price for the coffees.2.4 ConclusionWhether expensive or cheap products, will have its own intrinsic value. Usually get a lot of people will put the lowest cost to the most appropriate price. Even then the high value products, it is still the same living standards in pursuit of will buy.Cost leadership strategy may have a low customer loyalty short comings, such as price-sensitive customers will switch a low-cost alternative product available. i as the cost leaders reputation may also lead to lower quality status, which may cause a company is difficult to call itself or product in the future if it chooses to transfer to a different strategy.