Implications of Strategic Groups

Cards (5)

  • Strategic groups have several implications.
  • because firms within a group offer similar products to the same customers, the competitive rivalry among them can be intense.
  • The more intense the rivalry, the greater the threat to each firm’s profitability.
  • the strengths of the five forces differ across strategic groups
  • the closer the strategic groups are in terms of their strategies, the greater is the likelihood of rivalry between the groups.