Focused Low Cost Strategy Definition

focused low cost strategy definition

Sufficient Resources What is Focus Strategy? Focus strategy or niche strategy, in the simplest term, means focusing on a narrow and specific segment in the market.

The idea behind the focus strategy is to develop, market, and sell a specific product to a specific group of customers. Hoskisson, Ireland, and Hitt defined focus strategy as a marketing strategy that focuses on delivering a product or a service to a specific market segment. Companies mostly opt for the focus strategy option to maximize their penetration in a specific market stratey. It helps businesses to establish a competitive advantage through effectiveness.

Align strategy, structure and people to drive sustainable growth

Focus strategy can serve businesses in multiple ways. Focus strategy concentrates on the specific needs of a specific group of customers. When a business understands what its potential customers need, it can create a better and valuable product. This not only foxused regular profits for the business, but it also helps businesses to establish a relation of trust with their customers.

Moreover, customer loyalty is another perk of satisfying a specific group of customers. An organization focusing on differentiation strategy concentrates on a narrow customer segment adding differentiable and customized attributes to the product.

How we help you

Breezes Resorts is one of the finest practical examples of a focused differentiation strategy. The company only serves couples without children.

The company has seven tropical resorts, and it guarantees a children-free and noise-free place to its customers. Couples who wish to spend some time alone highly favor these types of services.]