Porter (1986)

Management > Crisis Management > Lectures > Independent Research > Porter > The Value Chain > The Value System > Competitive Scope

Competitive scope

This is the breadth of activities in which the firm engages to compete within an industry. There are four basic dimensions:

1. Segment scope (range of segments the firm serves, such as product varieties, customer types)
2. Industry scope (range of industries in which a firm competes)
3. Vertical scope (firm’s activities vs. activities of suppliers and channels)
4. Geographic scope (where a firm operates)

Competitive scope shapes the configuration of the value chain - what and how activities work and interact with each other.

“International strategy is an issue of geographic scope”. Pg15

Configuration and co-ordination of activities

Configuration and co-ordination of activities continued