Strategic group mapping one of a useful and innovative technique used to rectify and evaluate the rival’s firm position in an industry. In today’s market, every industry consists of rivals who enjoy benefits as compare to other companies. Thus, it is an important issue to rectify as well as to evaluate the major factors on the basis of which companies enjoys benefits and gain certain edge over other companies. Strategic group mapping is known as an important area with the help of which rival’s activities are easily identified. Below mentioned are some of the main issues related to strategic group mapping:

1. Helps in identifying barriers for entry and exit

2. Helps in identifying strategic areas with the help of which benefits can be easily gained

3. Helps in identifying best firms in the industry

4. Helps in rectifying major rivals

Strategic group mapping is an important area with the help of which firms can easily analyze where they actually need betterments and with the help of this firms do well and gain well. Constructing strategic group map is a challenging task in which firms requires a clear and vivid analysis in order to gain effective outcomes. Below mentioned are some major steps required in constructing strategic group map:

1. Try to analyze and evaluate the rival’s major areas

2. Setting major areas properly. For instance price and geographic coverage etc

3. Same firms should be allocated properly

4. In the end, follow every step strategically

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Strategic group mapping can helps any firm to make its position strong enough in an industry. This is the best way with the help of which a firm can stay back for a long time and can enjoy numerous benefits. With the help of this strategy, firms easily identify about their rivals and then work accordingly in order to gain potential advantages and to be the one who can achieve high benefits.

 

References

Jeffrey S. Harrison, Caron H. St. John (2009), "Foundations in Strategic Management", Cengage Learning, pg 196

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