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Combining multiple strategies is not necessarily successful in one case

Some strategies contradict each other, for example, operational effectiveness strategy and cost leadership strategy.  One of the goals of operational strategy is to increase quality, and customers’ satisfaction with the company. Cost leadership strategy is to provide customer products with the lowest cost. Some customers will doubt about the quality of the products since the price is so low. Besides, many customers just want products of high quality and they don’t care much about the price. Therefore, when using several strategies in the same time, the enterprise should be clear that not all the strategies can be used together (Hughes, 2005).

Business cluster can be categorized into strategic group

According to Porter, business cluster refers to the enterprise group formed by several enterprises or enterprises group interacting and living in a certain condition. In the cluster, a relative and unique environment is formed between enterprises, enterprises and external environment. These enterprises include agriculture enterprises, manufacture enterprises, information enterprises, enterprises of selling and providing services, transportation enterprises and science research enterprise, etc. In the cluster enterprises and business cluster can share resources to complement each other, thus to create an environment that is beneficial for them to survive and to improve the overall development in the cluster (Keegan, 2010).