A Capstone Experience(Factors and Trends that Influence Strategy Assignment

A Capstone Experience(Factors and Trends that Influence Strategy Development)1 - Assignment Example The businesses will save a lot of money in the long run. However, there will be reductions in employment, cuts on expenditure, and closure of establishments (Glynn, 2010). Investment strategies involve the business spending on innovation and market diversification. Though it is a risky strategy, many businesses have begun successfully using investment strategies. Businesses will allocate a large portion of their capital towards short-term survival and innovation. Businesses will then exploit all its resources (Glynn, 2010). Ambidextrous strategies are a combination of retrenchment and investment strategies. Businesses that adopt these strategies survive the recession period by cost and asset cutting. The businesses also invest a lot in product innovation and market development. Business managers have a task in choosing the right investment for the business and which cost to cut (Glynn, 2010). In the new post-recession consumer behavior, there are certain factors useful to achieve product differentiation. The factors include good business location to create convenience for the customers, and price differentiation so as to give the customers value for their money. Luxury goods are products which are not necessary; however, they make life more pleasant. Marketers of luxury goods should abandon their efforts to abandon premium pricing because their marketing focuses more on affluent mass markets. It would confuse market players because plenty of goods would not know whether to represent luxury or premium pricing (Silverstein, 2008). It is advantageous to create customer value and satisfaction. Companies should formulate their marketing strategies while sticking to the societal attitudes. For example, Wal-Mart delivers its promises always charging low prices on