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The 3 C’s – Customer, Company, Competition

This is a basic framework but is very useful. It is especially applicable to business strategy
and new market opportunity questions.

Customer Company:
Economic value to the Competition:
customer:

Individual Economics:
• Who is the customer? • Costs Industry analysis (5
• Perceptions • Profitability forces):
• Loyalty • Capacity to develop • Size, # of competitors,
• Volume product market shares
• Switching Costs • Capacity to produce • Competitors’
• Profitability of product responses
customer • Break-even analysis • Current strategy
• Preference • Experience curve • Strategic value of
• Purchase Behavoir • Financials product and
• Usage • Channels commitment to
• Organization/Structur product
Market: e • Corporate goals
• Size • Intangibles • Capabilities
• Growth • Economies of
• Segmentation Fit scale/scope
• Shares • Strategy and vision • Cost structure
• Maturity • Strengths/weaknesses • Experience curve
• Trends • Culture • Resources: financial,
• Resources channels,
Product: • Organizational organization,
intangibles (brand
• Price Structure
loyalty, culture)
• Differentiation • Brand equity
• Relative product
• Life Cycle • Core competencies
positioning
• Technology • Substitutes
• Substitutes • Expected response to
competitive moves

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