Competition and Strategic Rivalries
Multinational corporations have a workforce, presence, and operations in multiple countries. International expansion is one way corporations attempt to gain a competitive advantage over other companies in their industry. To learn more about how companies expand across borders, read this section.
Focus
Porter's third generic competitive strategy, focus, is a little different from the other two. A firm that focuses still must choose one of the other strategies to organize its activities. It will still strive to lower costs or add value. The difference here is that a firm choosing to implement a focused strategy will concentrate its marketing and selling efforts on a smaller market than a broad cost leader or differentiator. A firm following a
focus-differentiation strategy, for example, will add value to its product or service that a few customers will value highly, either because the product is specifically suited to a particular use or because it is a luxury product that few can afford. For example, Flux is a company that offers custom-made bindings for your snowboard. Flux is a focus differentiator because it makes a specialized product that is valued by a small market of customers who are willing to pay premium
prices for high-quality, customized snowboarding equipment.
