Strategic Positioning vs Operational Positioning - Essay Example

The competence level at which a company operates, is achieved through the basic gathering of goods in an organization (Kaltenbrunn, 2009, P.15). This involves the most efficient rank possible with the smallest extent of effort at which an association operates. Once a company performs precise activities, which may be improved than those of competitors, then operational efficiency is revealed. In addition, operational effectiveness may be achieved in an organization through the completion of better products than those of competitors (Cunningham & Harney, 2012, P.93). Therefore, operational effectiveness revolves around being outstanding in terms of the execution of various business activities.

Strategic positioning happens when a company makes a brand name; the company places itself in a position where its price and products are at a higher price than those of competitor, who produces similar products and the same quality of products under a minor brand name. According to Ellson (2004, P. 20), strategic positioning happens when there are different activities in an organization that are different from those of competitors or related activities carried out differently from competitors.

Important elements of a successful organization involve both operational effectiveness and strategic positioning, which consist of specific duties, which are better than those of competitors. Moreover, operational positioning and strategic positioning entail the effort to determine a company’s position against its competitors.