The Business Strategy that will Work Best for You

either. That would give you dominance over a niche of your own.

Generally speaking, a product leadership strategy is only for

the big boys. Like, Nokia, Sony and Mercedes Benz. While being the

best in a category, and staying that way, can be a powerful

strategy for highly specialised small businesses, it is just not

sustainable for most. Which brings us to our third option.

Dominating a market niche in your industry. It is most suitable

business strategy for most small businesses. By adding value in a

way that attracts a particular kind of customer, you can steadily

build your business success. You are able to charge a premium. And

you don't have to be "best".

The trick, of course is to clearly identify your niche market, and

convince your target market that you provide best solution to

their problem. For nearly all businesses, finding a niche and

dominating it provides a solid foundation for building a business on.

It is very important that you are absolutely clear on what generic

strategy you are relying on. Your business strategy, by definition,

is supported by a number of strategic tactics. Whether you are

aware of using them or not.

If you aren't clear about your overall strategic direction, you may

end up using conflicting strategies. For example, focusing

customers on your low prices at same time as you introduce best

of class products. Doing this means that your profitability suffers

and you fail to attract customers you want : not good!

Deciding on generic strategy that will create business

success you are looking for, clarifies your thinking. And it helps

you see clearly what tactics you need to use.

As a Business Strategy Coach, Mark helps business owners get stunning business results. Mark has developed the revolutionary StratPlan Wizard business building system. Learn more about it at www.stratplanwizard.com

Is This Really A Recovery?

Continued from page 1
The U.S. continues to lose jobs in manufacturing, retail trade, and financial and information services. In fact, U.S. factories laid off 26,000 workers in December, 41st consecutive month of decline. The workweek also shortened from 33.9 hours to 33.7 hours, and average weekly earnings also declined. Much of December’s decline in unemployment was attributed to discouraged workers, i.e., those who gave up looking for work because they couldn’t find any. Much of present boom is brought to you by U.S. government: more than $1 trillion in income tax cuts and sharply increased federal spending has made its way into economy. History shows that tax cuts do benefit an economy in short-run. But this comes at an unsustainable price to America’s future, as our huge national debt will reach a point where it either can’t be paid (i.e., a default by U.S. government on its obligations) or currency will be hyper-inflated to such a point where repayment is meaningless. Total debt is now $34 trillion, or $119,442 for every man, woman and child in America. Could it be that current economic expansion has been funded with a credit card? Interest rates hover at lows not seen since 1958, allowing Americans to take out billions in home equity loans to buy everything from cars to big-screen televisions. Low interest rates have contributed to huge boom in housing starts. But both foreclosures and bankruptcies are at record levels. What will happen when rates rise? The point of this article is not to say that sky is falling. My businesses, like those of most people, thrive best during good times. But those who view future through rose-colored glasses will eventually see those glasses turn into a deeper shade of red. There will come a point when music stops – when there won’t be enough chairs to go around. For those of you who read my article entitled, “The Greatest Depression is Coming,” you should know that it still is coming. However, as movie Gladiator ended, “ But not yet.” ___________________________________________________________________________ You can pass this newsletter around to others as long as you keep website links. http://www.moneymanagementfirm.com

John Finger runs an information-based website, www.moneymanagementfirm.com, where subscribers get information on stocks, three levels of option trading and long-term investments which Mr. Finger considers worth examining.