![]() ![]() Meanwhile, the service offered by discount retailers such as Walmart and Target on electronics were no better that Circuit City’s, but their prices were better. Rival electronics retailer Best Buy offered comparable prices to Circuit City’s prices, but the former offered much better customer service. The firm had simply lost its appeal to customers. After six decades as an electronics retailer, Circuit City went out of business in 2009. In many cases, firms become stuck in the middle not because executives fail to arrive at a well-defined strategy but because firms are simply outmaneuvered by their rivals. Journal of Management Education, 29(6), 816–832. Using classic literature to teach timeless truths: An illustration using Aesop’s fables to teach strategic management. With tongue in cheek, we note that the moral of the story is that if you try to please everyone, you may lose your ass. The noise and the chaos frightened the beast, leading it to thrash around until it tumbled into the river. As they crossed a bridge near town, the townspeople began to gather and laugh at the unorthodox sight. On hearing this, the father and his son tied the animal’s legs together and carried it on a pole. In fact, it would make more sense for the man and his son to carry the ass. Another bystander suggested that they could not believe that the man was the owner of the beast, judging from the way it was weighted down. ![]() ![]() Several of the women suggested that it was both ridiculous and lazy for the father to ride while the young son was forced to walk alone once again the two changed positions. ![]() They progressed a short distance farther and met a company of women and children. On hearing this opinion, the father told the boy to dismount the animal and he began to ride. Not long after, father and son overheard a man claim that young people had no respect for the elderly. The father then told his son to ride the animal. They soon encountered a group of girls who mocked them for walking instead of riding. In this tale, a miller and his son were driving their ass (donkey) to market for sale. The fable “The Miller, His Son, and Their Ass” told by the ancient Greek storyteller Aesop helps illustrate this idea. Stockholders apparently agreed with the plan to cut Arby’s loose-the price of Wendy’s stock rose 7 percent the day the plan was announced. Perhaps not surprisingly, parent company Wendy’s has been trying to sell Arby’s despite having recently acquired the company in 2008. Firms that are stuck in the middle generally perform poorly because they lack a clear market or competitive pricing. Arby’s signature roast beef sandwiches are neither cheaper than other fast-food sandwiches nor standouts in taste. if it does not offer features that are unique enough to convince customers to buy its offerings, and its prices are too high to compete effectively based on price ( Figure 5.11 "Stuck in the Middle"). A firm is said to be stuck in the middle A situation in which a business-level strategy does not offer features that are unique enough to convince customers to buy its offerings and its prices are too high to compete effectively on based on price. Some firms fail to effectively pursue one of the generic strategies. Stuck in the Middle: Neither Inexpensive nor Differentiated ![]()
0 Comments
Leave a Reply. |