Porter Prize for Industry Architectural Shift
Once the forces affecting competition in an industry and their underlying causes have been diagnosed, the firm is in a position to identify its strengths and weaknesses relative to the industry. The crucial strengths and weakness from a strategic standpoint are the firm’s posture vis-a-vis the underlying causes of each competitive force. It involves a number of possible approaches such as
- Positioning the firm so that its capabilities provide the best defense against the existing array of competitive forces
Influencing the balance of forces through strategic moves, thereby improving the firm’s relative position
Anticipating shifts in the factors underlying the forces and responding to them, hopefully exploiting change by choosing a strategy appropriate to the new competitive balance before rivals recognize it.