Strategies in Action
Forward integration
We are not going to use this kind of strategy because we do not have the enough money to increase our power of negotiation with distributors, for us is very important to have a good relationship with our stakeholders. However, in this case we can not use our capital to increase our power over distributors because is very limited.
Backward integration
The power of negotiation with suppliers is very important in our organization, because of that we need to use backward integration in our company to increase power over suppliers. We need to have a clear control of quality over the product that our suppliers are providing to us and we need to take advantage of the many number of suppliers that we have. If they do not provide a good product we will have to change them for others suppliers.
Backward integration
Horizontal integration
Use horizontal integration inside of our company in this moment is impossible for us. Due to our limited capital, we don not have the money to buy some company else in the industry.
Market Penetration
Market Development
In ArtisManus we need to use market penetration taking advantage of our quality in our products to make that people know and buy our products. We are a new company inside the industry that is why we need to have a great impact with our products made by people who are experts in handicrafts, it makes that people prefers our handicrafts. We also need a good marketing plan to make that people know our products.
This strategy is not going to be used in our company, because we need to start in just one local to start our business, this local is going to be located in Bogota, Colombia. ArtisManus is going to start its operation in that unique place.
