For this part of the report, Porter’s Generic strategies tool and Core competencies are going to be used. The main strategic challenge for any companies is to find a way of attaining a good competitive advantage over others. Porter proposed 4 generic strategies which can be worked on in order to achieve competitive advantage. They relate to the level to which the opportunity of an industry's doings are narrow as opposed to broad and the level to which a company strive for to set apart its products.
Arby’s generic strategies built on Michael Porter’s model are like those of other fast food chains Burger King and McDonalds. However, Arby’s set apart its business and products from rivals by product innovation that addresses market and consumer tendencies.
In order to draw a good marketing plan, it can be given as:
Cost leadership: This model speaks mostly about cost and price minimization as the core concerns in this strategy. Arby’s offers healthier products that are moderately cheaper than competitors like Panera Bread, however, not as much as McDonalds and other well-known fast-food chains, thus, have a disadvantage when compared to them. Better marketing tactics concerning pricing should be made. Arby’s put on
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Product exclusivity might be the main importance in this strategy. Arby’s relates to this generic competitive strategy by offering freshly made meat, fresh ingredients, healthy sandwiches and toppings, but also other product which are liked by many as the curly fries and burgers. Also Arby’s selection of salad items sets the business apart from rivals when health is concerned, as well as its unique architectures and interiors of its restaurants, thus lead to competitive advantage. Moreover, higher quality, branding and constant promotional activities such as advertising and sponsorship should be included to achieve differentiation