How the Customer influences Business Strategy
A business strategy describe how a particular business intends to success in its chosen market place against its competitors. It therefore represents the best attempt that the management can make at defining and securing the future of that business. A business strategy should provide clear answer to the questions: -
What is the scope of the business to which this strategy applies? -
What are the current and future needs of customers and potential customers of this business? -
What are the distinctive capabilities or unique competence that will give us competitive advantages in meeting these needs now and in the future? -
What in broad terms needs to be done to secure the future of our business? These questions should have been addressed during the process of strategy formulation. In this paper, we will discuss the second question that described above or on the other hand the question “how the customer influences the business strategy”. Most companies still develop business strategy by defining their markets as a collection of current and future products/ technologies/ competitors and not as group of customers with distinctive needs. Such a strategy is unlikely to be de-risked against market shifts and companies might actually miss the big opportunities offered by the market. One of the quickest ways to lose customer is to not have an effective business strategy in place for customer service. In today global markets, customer experience has become a key business differentiator. The world’s largest and most influential technology use their customer relationships as a key of continuing business success. Customers are demanding better service, more convenience and more personalized communications and business must maximize very interaction with their customers across multiple channels to drive loyalty and preference. Nowadays, when a customer have a bad experience with a company, they don’t keep it to themselves,...
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