[Get Answer ]-Low Cost Strategy Question

Question Description

1. Appraise/speculate about General Motors’ key resource strengths andcompetitive capabilities within the auto industry.  What competitiveliabilities and resource weaknesses does it have? What opportunitiesmight GM exploit? What threats to its continued success are present?

2. “Deciding which generic strategy to employ is perhaps the mostimportant strategic commitment a company makes – it tends to drive therest of the strategic actions a company decides to undertake and it setsthe whole tone for the pursuit of a competitive advantage over rivals.”(Thompson, Chapter 5, pg. 103)

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  • Go to www.google.com and do a search for “low-cost strategy.”  Seeif you can identify several companies with a consistent low coststrategy.  What are some of the advantages and disadvantages they face?

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