Risks and Suitability of Bowman's Strategy Clock for SMEs

Strategic Management
Student’s Name:
Student’s ID:

1
Table of Contents
Introduction.................................................................................................................................................2
Main Context...............................................................................................................................................2
Conclusion...................................................................................................................................................4
References...................................................................................................................................................5

2
Introduction
Though the Bowman’s Strategy Clock is utilized by the four SMEs to evaluate the
competitive position of the companies while comparing with the offers of their competitors, there
are some risks involved with the Bowman’s Strategy Clock. The paper will analyze the risks
associated with the Bowman’s Strategy Clock. There are many other competitive strategies like
the diversity strategy, innovation strategy, operating efficiency strategy, cost leadership strategy
or flexibility competitive advantage. The paper will also evaluate whether different competing
approaches are suitable or not for these companies.
Main Context
Risks Associated To Bowman Strategy Clock
Bowman had challenged the concepts of Michael Porter on general strategies and
suggested that a unique, low price hybrid position might be the position that could be achieved.
Porter had himself admitted that this could be the case under some specific situations but these
conditions are not clear from Bowman’s Strategy Clock. The Bowman’s Strategy Clock is an
instrument that poses partiality by helping only the direct competitive strategy in order to
increase the market share (Panwar et al., 2016). The positions of the companies out of four
SMEs those who are above the fair value line could increase their market share, but the ranks of
those companies among the four SMES those who are below the fair value line could lead the
market share to fall. The instructions of the Bowman Strategy Clock are not so evident from the
impact of profit on the clients.
Other Competitive Strategies Are Suitable or Not For These Companies
It is vital to notice that the four SMEs as part of the business level strategy, divides the
running of their daily business into strategic units of the industry. They do this so that they could
use their resources while competing in various markets and gain competitive benefits. Some
other competitive strategies like cost leadership strategy and innovation strategy are difficult to
implement for the small businesses, as it takes long time to sell the products and services in low
costs. The diversity strategy and the operating efficiency strategy aims only certain part of the
market, instead of providing the cheapest prices to the consumers of the market. So, the four
SMEs utilize the Bowman Strategy Clock for a competitive strategy, and it clearly recognizes the