Question

strategic trade-offs that are different between Walmart and Nordstrom even though they are in the same industry. Think of another industry that you know fairly well and select two firms there that also have made very different choices for these trade-offs. Describe some of the differences between these firms. What type of trade-off decisions have these firms made

Answer 1

Walmart and Nordstrom have different trade-off decisions in terms of target market in the retail industry. Similarly, Tesla and Ford have made different trade-off decisions in the automotive industry regarding electric vehicles.

Step-by-step explanation:

One strategic trade-off that is different between Walmart and Nordstrom is their target market. Walmart focuses on offering low prices and a wide variety of products to appeal to the mass market, while Nordstrom focuses on providing high-quality and luxury products to attract a more affluent customer base. This trade-off decision impacts their overall business strategy, including pricing, product selection, and customer experience.

Another industry where firms have made different trade-off decisions is the automotive industry. For example, Tesla and Ford have taken different approaches to electric vehicles. Tesla has focused on producing high-performance electric vehicles with advanced technology and luxury features, targeting a niche market of environmentally conscious and tech-savvy consumers. On the other hand, Ford has chosen to offer a range of electric and hybrid vehicles that are more affordable and appeal to a broader customer base, including commercial customers.

These trade-off decisions influence various aspects of the firms' operations, such as product development, marketing, and pricing strategies.

Answer 2

Answer: The answer is given below

Step-by-step explanation:

Another industry that I know fairly well that also have made very different choices for these strategic trade-offs is a restaurant such as McDonald’s and the Michelin-starred. Even though they are in food industry, it should be noted that their approach is not thesame.

McDonald’s sells cheap, fast foods and typically employs workers who have low skills while Michelin-starred restaurant sells food that are of high quality and also has excellent service. It should also be noted that McDonald's doesn't really place much focus on the experience and the atmosphere while Michelin does.