Defensive Strategy
MARCHELLE IRISH S. PARALE
Agenda
+To define the Defensive Strategy
+To know the Approaches to Defensive
Strategy
+To determine the Types of Defensive
Strategies
+To identify the Advantages of Defensive
Strategies
+To identify the Disadvantages of Defensive
Strategies
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What is Defensive Strategy?
A marketing tool that management uses to defend
their business from potential competitors.
In other words, it’s a battleground where you have
to fight and protect your market share by keeping
your customers happy and stabilizing your profit.
In simple words, we can say that a defensive
strategy is about capitalizing on your strengths
and competitive advantages to push the
competitors.
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Approaches to
Defensive Strategy
Active Approach Passive Approach
Increase the
New Product Reconnect with Old
marketing and Cut down the price Provide discounts Company Expansion
Innovation Customers
promotional activities
4
Types of Defensive Strategies
Joint Venture Retrenchment Divestiture Liquidation
Advantages of Defensive Strategies
Marketing &
Advertisemen Less Risky
t
Promote Value
of your
Product
6
Disadvantages of Defensive Strategies
Different Needs
of Target Market Innovation
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Sample of Defensive Strategy
vs
vs
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Defensive strategies are management tools that can be used to
fend off an attack from a potential competitor.
Key Take aways
Objectives of Defensive strategies:
•To maintain the existing market share and to maximize profitability
•To safeguard the existing levels of competitive advantage
•To keep up top position in local and existing markets.
Reference: https://www.marketingtutor.net/defensive-strategy/#Approaches-to-Defensive-Strategy 9
+"The biggest risk is not taking any risk... In
a world that changing really quickly, the
only strategy that is guaranteed to fail is
not taking risks." — Mark Zuckerberg,
Founder & CEO of Facebook
Thank You
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