Corporate strategies for Chattrade Development Corporation

• Main Author: Chua, Fanny L.
• Format: text
• Language: English
• Published: Animo Repository 1998
• Online Access: https://animorepository.dlsu.edu.ph/etd_masteral/2109
• Institution: De La Salle University

A. DEFINITION OF THE INDUSTRY. An industry is a group of companies or organization providing similar products and / or services to an identifiable set of customers or clients. Defining the industry or the environment sets the boundaries and provides a frame of reference for other analyses. The processed food industry belongs to what is called fragmented industry. It is characterized not only by many competitors but also by a generally weak bargaining position with suppliers and buyers. Marginal profitability can be the result. Thus, strategic with suppliers and buyers. Marginal profitability can be the result. Thus, strategic positioning is of particularly crucial significance. The strategic challenge is to cope with fragmentation by becoming one of the most successful firms, although able to garner only a modest market share. The essence of competition in many fragmented industries in personal service, local contracts, close control of operations, ability to react to fluctuations or style changes and so on. A centralized organizational structure is counterproductive in most cases because it slows because it slows response time, lowers the incentives of those at the local level, and can drive away skilled individuals necessary to perform many personal services.