Competitive Strategy on KPMG Develop

Question: Discuss about the Competitive Strategy on KPMG Develop. Answer: Introduction This assignment will provide an understanding of the competitive strategies of two organizations to develop two key ideas for running the sustainable business operations. The first task discusses the key idea of strategy implementation of product differentiation and its application to the organization of Wal-Mart for attaining a sustainable competitive advantage. The second task will analyze the key idea of business model innovation and its application to the organization of Microsoft for creating the technological innovation to its operations, products and services (Kaiser and Ringlstetter, 2010). The strategy is a keyword that aligns the organizational mission, vision, and values with the achievement of the organizational goals and objectives. The key idea for this is the competitive strategy, Product Differentiation that will play an important role in the achievement of the organizational goals and objectives. The implementation of the differentiation strategy will be aimed at attaining a competitive edge in the industry by differentiating the products and services from the competitors brands or substitute products. The differentiation strategy will include different in the pricing, product quality and design, and uniqueness of the service level. The idea of the differentiation strategy will create the innovation and creativity in the products, services, and operations of the company (Martin, 2014). The product differentiation will deliver the high-end services and value-added products to the customers by using the highly advanced technological operations, integrated RD effo rts, innovation trends, modified manufacturing operations, and scientific and engineering tools. Application of differentiation strategy to the Organization of Wal-Mart Wal-Mart is one of the largest retailing food suppliers that implements the competitive strategy of differentiation for attaining a sustainable competitive edge by beating the competitors retailing foods items or substitutes retailing food brands. Wal-Mart has been operating its retailing foods business for more than 100 years because of its product differentiation strategy. The implementation of the product differentiation strategy aligns with the organization vision, mission statement, and values for directing toward the business goals, and objectives. It implements the differentiation strategy for its product line, retailing foods items to attain a sustainable competitive advantage in the global retailing foods industry. Wal-Mart is one of the worlds leading retailing foods stores for offering a wide range of e tretailing food items, such as breakfast items, coffee, candy gums, snacks, canned goods, beverages, baking, pasta noodles, and organic foods products of its own brands (Sl ide Share, 2015). Wal-Mart uses differentiation strategy for offering the retailing products of the original quality, unique taste, and high brand value for creating the high brand awareness and customer responsiveness. The retailing products of Wal-Mart are most popular among the people and demanded in the huge quantities by the customers from different geographic markets around the globe. Wal-Mart is the largest supplier for the retailing foods products in the world that implements the differentiation strategy for offering the valued and exclusive quality of the foods products with the core ideas of the high-quality contents and nutrients, freshness, tasteful, flavorful, and energy efficiency in its foods items for meeting the foods demands and preferences of the customers. The differentiation strategy is a part of the Porters generic strategy that provides Wal-Mart stores a framework to beat the competitors product (Wal-Mart, 2009). The product differentiation strategy of Wal-Mart is highly dependent on the technological breakthroughs and innovation through the advanced production technologies, optimized research and development efforts, scientific methods, engineering ideas, and modernization of the manufacturing operations that assist the firm to dominate in the foods retailing world. Along with this, the low cost pricing of Wal-Mart stores creates perception in the customers that causes for the stuck of the customers in self-reinforcing loop of Wal-Mart and keeps them to visit Wal-Mart stores and purchase the retailing foods items as per their needs. Key Idea- Business Model Innovation The Business model innovation (BMI) is an organizational process that drives significant changes in the product or services for meeting the changing customers needs and demands. The business model innovation enforces adaptive changes in the organizational operations, business processes, and products and services as per dynamic market conditions, growing environmental impact, and diverse customers needs. The business model innovation enhances the suitability, sustainability, and adaptability of the products and services to the customers needs and market demands. The business model innovation is aimed at creating values to its stakeholders by meeting their needs, interests, and expectations (Ovans, 2015). It drives innovation and creativity in the organizational operations, activities, and systems through the technological breakthroughs and dynamics, disruptive innovation, advanced RD efforts, engineering ideas, and scientific methods for running the sustainable business operations. Apply Business Model Innovation to the organization of Microsoft Microsoft Corporation is the worlds largest computer technology company that specializes in the computer software tools, operating systems, windows programs, and server applications. It uses Silicon Valley business model for driving innovation and creativity to its products and services. Because of the uniqueness, the products and services of Microsoft are well known among the people and highly demanded by the people for supporting their computer programs and software applications. Microsoft Inc. has worldwide presence due to its unique computer applications, operating systems, high-end technological service solutions, and value-added software products. Due to its high brand reputation, diversified product portfolio, and global market access, the products and services of Microsoft are accepted to the global customers (Skillicorn, 2014). It uses the Silicon Valley business model that is based on two core principles of innovation and creativity. This business model brings significant c hanges and innovation in the production technologies, manufacturing operations, RD, and business processes of the organization that assist the firm to offer the value-added and high-end technological service solution in the form of computer software applications, server applications, operating systems, and windows programs for in the use of the customers to support the functioning of the computers or laptops. The business model of Microsoft includes the business operations of developing, manufacturing, and licensing the computer software products and services including computer software programs, operating systems, server applications, business and consumer applications, and internet applications (Digital News Asia, 2016). The business model of Microsoft is focused on meeting the technological needs of the customers by providing them the high-end computer technological service solution. The business model of Microsoft includes product diversification, focused market segmentation, technological advancement and innovation, customer relationship management and digitalized service operations to enhance the global brand identity, product performance, and customer responsiveness around the world. Conclusion From the above discussions, it can be concluded that Wal-Mart is the largest American retailing foods selling firm that highly focuses on the product differentiation for delivering the effective customer service through offering the exclusive taste, original quality, and valued-added foods products. Microsoft is the market leader in the computer technological services and uses the disruptive innovation business model for building creativity and innovation to its products and services in order to offer the customers the high-end technological solution. References Digital News Asia (2016). Microsoft, KPMG develop IOT solutions for business model innovation. [Online]. Available at: https://www.digitalnewsasia.com/business/microsoft-kpmg-develop-iot-solutions-business-model-innovation. (Accessed: 13 April 2017). Kaiser, S. and Ringlstetter, J. M. (2010) Strategic Management of Professional Service Firms: Theory and Practice. London: Springer Science Business Media. Martin (2014). Stand Out from the Crowd: Examples of Differentiation. [Online]. Available at: https://www.cleverism.com/stand-crowd-examples-differentiation/. (Accessed: 13 April 2017). Ovans, A. (2015). What is a Business Model? [Online]. Available at: https://hbr.org/2015/01/what-is-a-business-model. (Accessed: 13 April 2017). Skillicorn, N. (2014). Microsoft Out-Innovates Apple, Google with Radical New Business Model. [Online]. Available at: https://insights.wired.com/profiles/blogs/in-just-1-week-microsoft-out-innovated-apple-and-google-with. (Accessed: 13 April 2017). Slide Share (2015). Business Strategy of Wal-Mart Stores, Inc. [Online]. Available at: https://www.slideshare.net/luvnhok4ever/business-strategy-walmart. (Accessed: 13 April 2017). Wal-Mart (2009). The Business Strategy of Wal-Mart. [Online]. Available at: https://warlmart.blogspot.in/2009/02/which-of-3-generic-business-strategies.html. (Accessed: 13 April 2017).