In order to cope with the competitors, market leader Maruti adopted new technologies for manufacturing their recent models. Which type of plan is highlighted in the above statement?
In order to cope with the competitors, market leader Maruti adopted new technologies for manufacturing their recent models. Which type of plan is highlighted in the above statement?
Solution
Option 1 -> Policy is a general guideline that provides a framework for decision-making and defines boundaries for managerial actions, not a competitive response plan.
Option 2 -> Strategy is a comprehensive plan of action designed to achieve long-term goals and deal with competitive challenges. Adopting new technologies to cope with competitors represents a strategic move.
Option 3 -> Programme is a detailed plan with specific activities, timelines, and resources to implement decisions, more operational in nature than strategic positioning.
Option 4 -> Objective is a specific target or goal to be achieved, not the method or approach used to deal with competition.
Hence, Option 2: Strategy -> Maruti's adoption of new technologies to cope with competitors is a strategic plan because it represents a comprehensive competitive response aimed at maintaining market leadership position. Strategy specifically deals with how organizations respond to external competitive pressures and position themselves in the market for long-term success. -> correct