Question

1. What do we mean by strategy? How is a business model different from a strategy?
2. Under what environmental conditions are price wars most likely to occur in an industry? What are the implications of price wars for a company? How should a company try to deal with the threat of a price war?

references/citations

Answer 1

1. A business strategy is an intentional vision to get toward an ideal long haul objective. A business model is an incredible instrument to execute a business strategy.

However while accomplishing a long haul objective a business strategy set a vision, crucial incentive that can be executed through a few potential business models. At the point when one of the drafted business models experiences the kindness of the market that is the point at which a business strategy gets effective!

2. The environmental conditions where price wars are well on the way to happen in an industry are the divided business structure and united enterprises (reliant organizations). The suggestions at a cost war are serious contention which happens when one organization makes a move and the others respond, this competition keeps on expanding as each organization attempts to undermine the other's price and offer progressively significant items, at long last bringing about diminished industry benefits. The most well-known approach to attempt to manage the danger of a price war by looking to merge the business following the price of the predominant organization, in any case, price-fixing and arrangement should be maintained a strategic distance from (the thought can't be conveyed between organizations).