Here, the established product tends to remain steady and the number of competitors increases. Although sales and profit generally reached their peak, it is in this phase where the organization should start reinventing its products/services to remain their current levels. Product differentiation is recommended in this stage, as well as efficient operations and formulation of creative marketing strategies. The decline is the period where the product/services begins to reach or is reaching its lowest point. Here, sales and profits decline and price competitions are intense. An organizations can choose to keep the status quo, reduce prices to generate more sales, consolidate with other organizations, or simply exit the market. Implementing strategies like product/services reinvention and aggressive marketing can be helpful. Not all products follow the S-shaped product life cycle curve. Some products are briefly introduced but die quickly. others stay in the maturity stage for a long time. Some enter the decline stage are recycled back into the growth stage through promotion and repositioning. STABILITY STRATEGIES For organizations that are doing fine or are doing better in their existing businesses, they may choose not to implement any growth strategy. They may not want to apply any competitive strategy and hence, decide to keep the status quo. Not adopting any growth or competitive strategy is a choice that organizations make. Stable with niche and any loud strategy may attract the attention of competitors For example, there are businesses that are successful monopolies in their own right with no new entrants. They continue to enjoy their profit. On the other hand, there are organizations that have not decided to expand and became big. They are just content with what they have. RETRENCHMENT STRATEGIES Sometimes, companies encounter serious difficulties. When a company’s survival is threatened or when it is not competing effectively, it usually takes time to sit down and review its current situation. They are the following: 1. Liquidation is the most radical action a company takes when the company is losing money and thus, is further compounded by a disinterest on the part of the stockholders to do anything more to save it. In such cases, the business may be terminated and its assets sold. 2. Divestment is implemented when a company consistently fails to reach the set objectives or when the company does not fit well in the organization. Thus, the stockholders would preferably sell it or set is as a separate corporation. 3. A turnaround strategy is adopted when the organizations has reached a significant level of no performance, no productivity, demoralization and unprofitability and therefore has to implement restorative strategies. Organizations in this level have serious problem that may lead to possible closure. Once an organizations decides to continue, turnaround strategies are implemented. In a turnaround strategy should focus on the following areas: climate and culture, products and services, production and operations, infrastructure and finances a. Climate and culture The toughest and most challenging area for any organization undergoing a turnaround strategy is the climate and the culture. Generally a new chief executive officers comes in and takes over the critical organization. With a generally demoralized and uncertain workforce, employees feel a certain ambiguity and hesitancy. Aside from job security, they are unsure how the new CEO will manage the organization. Essentially, the strategy is to first study the organization and audit the job descriptions of each of the employees vis-à-vis there functionality in their departments business units. After in-depth study is done, certain people strategies can be adopted. b. Products and services A review of the product offered and services rendered is needed; as questions like what product/services are marketable in the industry, which of this product and services need some improvements or major redesign, and what distinct features can be introduced to attract buyers. Note that some product and services that where wants sale able and attractive may eventually lose their costumer appeal. Because of rivalries among competitors, this goods may become obsolete, dysfunctional, too expensive, of low quality and therefore, not competitive. When the organization gives dew and serious attention to this concern the product and services competitiveness aspect would have been half addressed c. Production and operations In the implementation of turnaround strategies, this is the easiest phase to sort out and manage. The CEO can look into the processes of the organization, determine which processes are redundant and defective, and undertake piecemeal improvements. Questions ask will include finding out whether their processes are lean and efficient, whether there is a need to conduct facility equipment production and operation review, whether the percentage of wastes rejects and downtime is high, whether cycle time is high or very high. Once the organizations competently reviews and addresses this areas, financial saving can easily be generated. d. Infrastructure Turnaround strategies can easily achieve significant improvements when the infrastructure is correctly assessed and appropriate interventions are introduced and reinforced. Technology is the best infrastructure strategy that can bring radical improvements. An organization seeking to turn itself around can look up its structure and system and implement needed step-up and enhancements. e. Finances When an organizations needs a turnaround strategy, it is because its finances are waving a “ Red Flag”. This may mean that the organizations is losing money or is marginally profitable, causing concern to investors. Once the aspects of climate and culture, products and services, productions and operations, and infrastructure have been adequate confronted and substantial interventions have been successfully implemented, the financial aspects will take care of itself. Products generally follow a life cycle-introduction, growth, maturity, and decline. In every stage, certain unique strategies can be adopted to bring about greater sales. Some companies are able to prevent, atrophy (death of business/organizations) If more creative strategies are implemented. In addition, there are organizations that opt for maintaining the status by applying stability strategies. For organizations that seem to be verge of closing because of certain reasons, retrenchment strategies can be employed. STRATEGIES In the past, we were a Chinese local brand. Now they view us as a very serious competitor-we are more competitive in the market. This is a volume industry, a scale industry. If you have the scale, you have the advantage. So, first becoming one of the leaders is very important from an efficiency point of view. And second, being a top PC company promotes our brand. Someone in the Chinese media asked me how important it was to become number one, and I asked him,” Can you name the world’s highest mountain?” And he replied, ”Everest”. Then I asked,” And what’s the world’s second highest?” For consumers, we believe that transactional model works best; it must be push model in which products are pushed from the manufacturer, not requested by the costumers. So we built our end to end integrated transaction model in China. We have replicated that in India across all of our functions. In terms of growing organically there, we have approached low tier cities first in an effort to be the pioneer to develop these emerging markets. Basically, we have been careful not to view India as just one big emerging market-we look at it as a number of smaller markets, and we separate it into different tiers.