Student

Assignment 1: “Mountain Bank”

Human Resource Management: HMR 530

Mountain Bank

Discuss the strategies that Mountain Bank should implement to achieve a competitive advantage

in the marketplace. Traditionally, to look at the marketplace of the banking system of Mountain

Bank, it has provided a line of four lines of its banking products and services, which is retail

banking, real estate, mortgage, and corporate banking. The most critical strategy that needs to be

implemented is business level strategy. To accomplish a competitive advantage for Mountain

Bank they should implement a cost leadership strategy and the differentiation strategy. Cost

leadership is for all businesses that they must have a competitive advantage to survive in the

marketplace. Companies can implement different strategies to set themselves apart from

competitors and expand a healthy market share. One such strategy, cost leadership, seeks to

recommend the lowest priced offering in a product or service category to customers by

continually lowering costs across the board. Striking a balance between price and quality is

essential for cost leaders, as there comes a point where decreases in quality are no longer

justified by lower prices in consumers' minds. In this day and time money is a rare commodity

that numerous people are not making enough of and are not ready and willing to part with it

often. While taking this into consideration, it is understood that Mountain Bank will be able to

take advantage of the tough economic times.

Cost Leadership Strategies: eHow.com http://www.ehow.com/info_7822801_cost-leadership-strategies.html#ixzz1bdtAarzy

Mountain Bank needs to come up with ideas just like some other banking organizations, is they

did in bringing more services at lower rates. This has to be a delicate balance of price reduction

the quality of services rendered. “A focus on cost reduction cannot come at the expense of

producing goods and services...