Generic Strategy

Instructions & Requirements
• For each of the scenarios below, choose the strategy that you believe should be pursued to achieve
the best results, and provide a brief explanation of why you believe this is the best strategy.
5 Generic Strategies
Low-Cost Provider Strategy
Broad Differentiation Strategy
Focused Low-Cost Strategy
Focused Differentiation Strategy
Best-Cost Provider Strategy
• Paper length: maximum 5 pages (double spaced).
For each short response, please include enough detail to make it clear to me that you understand what you are writing about. All responses should include logical reasoning/thought process.
• Please do not include the scenario in your paper.
• Use the Scenario number and name as your headings for each section of your paper.
• Cover page and a Works Cited page (not included in the page requirement listed above)
Grading: scores will be based on clarity of the information you present to support your position
MGMT4020 Lindblom Spring 2021
Choose the Best Strategy

Scenario 1. Boutique Hotel
A new waterfront development project is beginning in a medium-size city. This project will include
moderate to higher-end shopping, restaurants, and hotels. Some of these businesses include: Pottery
Barn, Ann Taylor, an Apple Store, Sasha’s Dress Boutique, Apostrophe, Bose, Calvin Klein, Cheesecake
Factory, Capital Grille, Maggiano’s, the Marriott, and the Westin. The spaces will include a mixture of
national chains, and local businesses. The project and the city have been highlighted in national papers
for the expected success of the project and renewed attraction to the city. The Sully Hospitality group is
determining if they want to open a boutique hotel in this area. What strategy should Sully adopt to
develop the type of boutique hotel that would best-fit this project? Provide a brief explanation.

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Scenario 2. McDonalds
A new shopping center is being developed – the main anchors are Wal-Mart and Home Depot. The other
parcels will include smaller establishments of fast-food and other convenience category businesses.
McDonald’s is interested in this project but has to determine how they would approach this location.
The options are:
1. Put a McDonald’s Express inside the Wal-Mart
2. Purchase an out-parcel at the front of the project with high traffic volume and build a traditional
3. Purchase an out-parcel at the front of the project with high traffic volume and build a McCafe
Which generic strategy should be McDonald’s use to guide this decision? Based on the generic strategy
that you believe is most appropriate for this scenario, which option should McDonald’s choose? Provide
a brief explanation.

Scenario 3. New Airline
The airline industry has seen various players attempt all of the generic strategies. Given the current
state of the airline industry and the main surviving airlines, if a company wanted to get into this industry
right now, which strategy would promote the best chances for success? Provide a brief explanation.
Scenario 4. Tablet Start-up
The top five selling brands of tablets in the world are: 5. Acer, 4. Dell, 3. Sony Vaio, 2. Lenovo, and 1.
Apple. A new start-up company wants to break into the tablet market; what generic strategy should
they adopt? Provide a brief explanation.
Market 101 News:
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