The strategic triangle
In The Mind of the Strategist (1982), Kenichi Ohmae argued that strategy is shaped by three players: customers, competitors and the corporation. A good strategy finds company strengths that meet customer needs better than rivals do.
Key questions
- Customer: market size and growth, segments, buying criteria and hidden needs
- Competitor: main rivals and shares, strengths and weaknesses, substitutes and entrants
- Company: resources, capabilities, brand, cost structure and differentiation
Links to other tools
External (customer, competitor) and internal (company) findings feed the opportunities, threats, strengths and weaknesses of SWOT analysis, and then STP and the 4P marketing mix.
Example
If cola customers grow health-conscious, rivals push zero-calorie lines and the company has a strong brand and distribution, the key success factor may be expanding low-sugar products under the core brand.
References
- Ohmae, K. (1982). The Mind of the Strategist: The Art of Japanese Business. McGraw-Hill.
- Kotler, P., & Keller, K. L. (2016). Marketing Management (15th ed.). Pearson.
- Porter, M. E. (1980). Competitive Strategy. Free Press.