subject: Geox Has Focused Its Efforts On The Application Of New Technologies To The Ghd Hair Straightener Out [print this page] Most of the companies pursuing this strategic position try to improve operational excellence in each activity they perform and try to exploit the corresponding complementarities. Those who are able to make it reach a peak of the industry performance landscape (as stylized in Figure 4). However, the number of possible styles and materials for shoes is not infinite. (http://www.ghd4hairs.com/ghd-benefit-hair-straighteners-limited-edition-2009-p-229.html)
Similarly, given the size of the customer base in each market segment, the returns to investing in style, image and For example, Mephisto focuses on mens comfort shoes, Timberland and Clarks on casual outdoor shoes (though Clarks has a wider scope on the domestic market), Ecco on mens and womens comfort shoes, Skechers on casual/trendy youngsters shoes, Birkenstock on anatomic sandals, Bakers on young womens shoes, Wolverine World Wide on casual shoes, slippery and boots, R.Griggs on boots, Johnston & Murphy on mens shoes.
The majority of Italian footwear manufacturers (Tods, Ferragamo, Magli Pollini, Rossetti, Rossi, Superga, Panther, etc.) are also extremely focused by product type or customer group, usually targeting the high end of the market. brand awareness are diminishing. Moreover, once fashion has decided what is trendy for a given customer group and/or product type (e.g.: round or point toed shoes), the convergence of competing collections is inevitable. Crowded with competing firms, it is likely that the peak on the considered performance landscape is not high (smaller margins and lower growth potential). Kim and Mauborgne (2004) would call this a typical Red Ocean situation, where products tend to turn into commodities and increasing competition turns the water bloody. This situation corresponds to the lower peak in the industry performance landscape sketched in Figure 4.
The blue strategic position: where Geox flies Geoxs strategy is diverse, and its configuration of activities is unique. The activities/choices are not only different from those of competitors, but also the way in which these activities and choices interact is distinctive. In terms of product innovation, Geox has focused its efforts on the application of new technologies to the shoe outsole, not on the upper style and design. The product range Geox offers is wide in scope and targets a large customer base, classified into the traditional industry market segments (mens, womens, childrens, classic, comfort, sporty, dressy, boots, sandals, etc.).
The combination of these two activities/choices (and of the others later analyzed) represents a new strategic position and a unique configuration of complementary activities in the footwear industry. It is a different strategic position because it allows Geox to offer a unique product, that is reasonably stylish and good-looking (the fast follower, Zara-like upper-shoe design strategy), to a wide customer base (sweaty feet are not confined to a single class, age, sex or type of use), at an affordable price (thanks to lower production costs deriving from economies of scale, the adoption of flexible automation technologies in rubber shoe sole manufacturing, and an international supply network).
In this new market space, traditional competition, based on brand/style or price based, is less relevant. However, most importantly, Geoxs configuration of activities is unique, because they interact differently, leading to synergistic results. It is this combination of activities/choices that has led Geox to such outstanding achievements.
