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"Competitive strategy is the bases on which a business unit might achieve competitive advantage in its market". (Johnson G. Scholes K. 2002).
There are mainly three different types of corporate strategies.
The innovation strategy, which is aims to develop products or services different from competitors.
The quality enhancement strategy, which focuses on the production of more quality products.
The cost reduction strategy, which is a continuous attempt to lower the cost and thus gain more profit.
COMPETITINE ADVANTAGE.
"Competitive advantage is the ability of a firm to outperform rivals on the primary performance goal-profitability" (Grant M. R. 2003). Generally organizations achieve competitive advantage when they manage to provide their customers with a product.
which is more effective than their competitor's. That occurs when rivals find it difficult to imitate this product or service. .
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HR STRATEGIES.
"It is the approach of making decisions on the intentions and plans of the organization concerning the employment relationship and its recruitment, training, performance management and reward strategies" (Armstrong M. 2003). The HR strategies, in order to be more effective should be integrated vertically with the business strategies and horizontally with one another. Vertical integrations is achieved when business strategy and business plan are aligned. Horizontal integration is achieved when performance management and other HR strategies are aligned. The fundamental priority of HR strategies is not only to secure and maintain the necessary human resources for the firm, but also to develop them into sources of sustained competitive advantage. However it should be stated that there is no specification or prescription of what exactly is an HR strategy. It is closely correlated to the context, the culture and the business strategy of each individual company. In other words it has to do with the way in which organizations perform their HR practices.
