Business

Definition: The term 'strategic management' is used to denote a branch of management that is concerned with the development of strategic vision, setting out objectives, formulating and implementing strategies and introducing corrective measures for the deviations (if any) to reach the organization's strategic intent. It has two-fold objectives: To gain competitive … [Read more...] about Strategic Management

Definition: Differentiation strategy, as the name suggests, is the strategy that aims to distinguish a product or service, from other similar products, offered by the competitors in the market. It entails development of a product or service, that is unique for the customers, in terms of product design, features, brand image, quality, or customer service. Differentiation … [Read more...] about Differentiation Strategy

Definition: Environmental Analysis is described as the process which examines all the components, internal or external, that has an influence on the performance of the organization. The internal components indicate the strengths and weakness of the business entity whereas the external components represent the opportunities and threats outside the organization. To perform … [Read more...] about Environmental Analysis

Definition: Product Line can be understood as an array of related products, under a specific brand, offered by a particular company to its customers. For instance: Amul offers a series of closely related products such as milk, butter, ghee, dahi, yoghurt, ice cream, srikhand, Gulab jamun, flavoured milk, chocolate, etc. There are many companies which are engaged in multiple … [Read more...] about Product Line

Definition: Cost Reduction can be understood as the perennial decrease in the unit cost of goods produced and services provided by the company, without compromising with its quality and suitability for the use intended, with the help of new and improved methods. In finer terms, cost reduction is a systematic and corrective technique used by most of the firms to cut the … [Read more...] about Cost Reduction

Definition: The term corporate failure entails discontinuation of company's operations leading to inability to reap sufficient profit or revenue to pay the business expenses. It happens due to poor management, incompetence, and bad marketing strategies. In a business environment, corporate failure of firms is quite common, wherein only those firms survive, that adapt … [Read more...] about Corporate Failure

Definition: Capital Market, is used to mean the market for long term investments, that have explicit or implicit claims to capital. Long term investments refers to those investments whose lock-in period is greater than one year. In the capital market, both equity and debt instruments, such as equity shares, preference shares, debentures, zero-coupon bonds, secured premium … [Read more...] about Capital Market

Definition: In business parlance, competitive intelligence can be understood as the process of identifying, gathering, evaluating and disseminating, information concerning competitor's strengths and weaknesses, products, and customers, which a firm requires for strategic decision making. In other words, it is a legal and ethical practice that helps in improving the firm's … [Read more...] about Competitive Intelligence

Definition: Lean management refers to a technique developed with the aim of minimising the process waste and maximising the value of the product or service to the customer, without compromising the quality. It is coined by Toyota Production System, which is a part of lean thinking. Lean is possible through distinct techniques such as flow charts, just in time, total quality … [Read more...] about Lean Management

Definition: Target costing can be viewed as a proactive cost management tool used to reduce the total cost of the product, over its complete lifecycle, through production, engineering, research and design. It helps the firm in managing the business in reaping profits in the extremely competitive market. Simply put, target costing is a process of ascertaining and attaining … [Read more...] about Target Costing