business
As we all know a good business strategy is a foundation for each company, therefore a good company or organization always trying to figure out their business strategy. Specialization is a very common strategy for business company or organization, which means that enterprises concentrate all their resources and abilities on the core business that they are good at, in order to grow and develop. In the article Of the Division of Labour there is a story about pin-maker“ Each person, therefore, making a tenth part of forty-eight thousand pins, might be considered as making four thousand eight hundred pins in a day. But if they had all wrought separately and independently, and without any of them having been educated to this peculiar business, they certainly could not each of them have made twenty.” This example greatly shows the importance of the division of labor, and also suggest that over society need the division of labor.
Division of labor application in business is called Specialization. In the article Plato, that “In my opinion, is to be found in the fact that we do not severally suffice for our own needs, but each of us lacks many things.” Which shows that our society needs trade，and back in modern society enterprise specialization is very necessary.
In my opinion, there are 4 advantages of specialization. First, it can help the scale economy realized, and the enterprises' specialized strategic resources are relatively centralized and help to expand the scale. Second, improves core competitiveness of the company, specialized enterprises concentrate on limited resources, specialize in one thing and innovate continuously, always walk in the forefront of their field, and improve entry threshold in this field, effectively prevent competitors from entering. Third, The establishment the target market, enterprises are familiar with their core industries and have mature technology and extensive voluntary support, which can achieve product innovation and better meet customer needs. The last points are that it can set up the better brand image of the enterprise, the product can meet the customer's needs better and naturally sets up the brand image of the enterprise in the mind of the customer, when people talk about this product will immediately think this company.
Also, there is a big disadvantage that the company will have great risk and weak ability to resist. Enterprises are specialized, a single industry, single source of funds, single source of profits, single product type, and more concentrated resources. Once the market is sluggish and the circulation of resources is poor, it is possible to go to a dead end. Because enterprises only develop for specific products, and technological innovation is high input and high-risk projects. Therefore, enterprises are easily trapped in the dual dilemma of capital and business because of the failure of a development project.
Apple and DELL are all famous computer companies all over the world, but business strategy is quite different. Apple Corp operates products such as computer phones, music players, etc. DELL has been running computers only. Both of them are successful company，but in my opinion apple‘s business model are more successful, because it built up its own product chains. A lot of consumers find that after bought the first Apple product, gradually all the electronics devices around him are replaced by apples. DELL is also a top company in the territory of business computers. There are still a lot of company prefer to buy DELL’s produce，because of its state-of-the-art technology and the good cost performance.
As we all know a good business strategy is a foundation for each company, therefore a good company or organization always trying to figure out their business strategy. Specialization is a very common strategy for business company or organization, which means that enterprises concentrate all their resources and abilities on the core business that they are good at, in order to grow and develop. In the article Of the Division of Labour there is a story about pin-maker“ Each person, therefore, making a tenth part of forty-eight thousand pins, might be considered as making four thousand eight hundred pins in a day. But if they had all wrought separately and independently, and without any of them having been educated to this peculiar business, they certainly could not each of them have made twenty.” This example greatly shows the importance of the division of labor, and also suggest that over society need the division of labor.
Division of labor application in business is called Specialization. In the article Plato, that “In my opinion, is to be found in the fact that we do not severally suffice for our own needs, but each of us lacks many things.” Which shows that our society needs trade，and back in modern society enterprise specialization is very necessary.
In my opinion, there are 4 advantages of specialization. First, it can help the scale economy realized, and the enterprises' specialized strategic resources are relatively centralized and help to expand the scale. Second, improves core competitiveness of the company, specialized enterprises concentrate on limited resources, specialize in one thing and innovate continuously, always walk in the forefront of their field, and improve entry threshold in this field, effectively prevent competitors from entering. Third, The establishment the target market, enterprises are familiar with their core industries and have mature technology and extensive voluntary support, which can achieve product innovation and better meet customer needs. The last points are that it can set up the better brand image of the enterprise, the product can meet the customer's needs better and naturally sets up the brand image of the enterprise in the mind of the customer, when people talk about this product will immediately think this company.
Also, there is a big disadvantage that the company will have great risk and weak ability to resist. Enterprises are specialized, a single industry, single source of funds, single source of profits, single product type, and more concentrated resources. Once the market is sluggish and the circulation of resources is poor, it is possible to go to a dead end. Because enterprises only develop for specific products, and technological innovation is high input and high-risk projects. Therefore, enterprises are easily trapped in the dual dilemma of capital and business because of the failure of a development project.
Apple and DELL are all famous computer companies all over the world, but business strategy is quite different. Apple Corp operates products such as computer phones, music players, etc. DELL has been running computers only. Both of them are successful company，but in my opinion apple‘s business model are more successful, because it built up its own product chains. A lot of consumers find that after bought the first Apple product, gradually all the electronics devices around him are replaced by apples. DELL is also a top company in the territory of business computers. There are still a lot of company prefer to buy DELL’s produce，because of its state-of-the-art technology and the good cost performance.