Hello! This is Orcel Saito.
This week, I'm working with an online shop owner to improve his business.
In the current e-commerce environment, marketing and business strategy skills are being put to the test.
Unlike when the market is growing, no luck will come your way, so the key to success now is whether you can increase sales.
There are two ways of thinking about competitive strategy.
The first is the "positioning-based theory."
Simply put, the idea is that where you are determines whether you win or lose.
This means that the outcome will depend on the environment you are in.
The other is the "resource-based theory."
This is the idea that victory or defeat is determined not by where you are, but by the resources you have.
The perspective is that the resources you possess are more important than the environment.
Environment and resources.
Of course, both are important, but from what I have seen over the past 20 years, I feel that in the vast majority of cases it is better to focus on positioning, that is, thinking about the environment in which you are operating.
There is no point in clinging on to a shrinking market and fighting, or, as if to say, fishing in a pond with no fish in it.
There is no point in trying to compete in a market where sales are only 30,000 yen per month.
It may seem impossible, but many people make such a mistake.
And the worst thing is to become overconfident that what has been going well up until now is due to your own efforts.
Was that really the case?
When the market is growing, everyone does well.
This is something I understand very well when I interact with CEOs from emerging countries such as Vietnam.
This may sound harsh and unpleasant, but the clients I support wholeheartedly agree.
I think it would be better to stop operating blindfolded and operate while looking at the answers.
A competitive strategy approach that can be used to manage online shops
