How does an aligned strategy allow a company to move from th

On an economic point of view, it is possible to assume that the entire population behave with the same characteristics around the world, with their own cultural particularities but with a common basis. We will call that common basis a buying behavior. This buying behavior can be divided into four main categories that summarize all the buying behaviors noticed in the world. The challenge today for a company is to understand the predominant buying behaviors of its market environment. Once the dominant buying behaviors has been identified, it is now possible to align a proper business strategy for each of the buying behavior that illustrate the customer portfolio. The direct consequence is an adapted response to every customer needs and the company can now focus on what is more important for the customer’s company rather than other aspect of the product or service sold that does not matter much the customer.

Secondly, it is important to understand what is a traditional cost-service paradigm and then, the new paradigm brought by a behavioral segmentation of the demand.

The traditional paradigm links a growing level of customer satisfaction and the cost that

In the subject discuss, the notion of market segmentation and strategic response has been develop. But this is only the visible part of the iceberg. The strategy of company does not come from nowhere, it comes from the culture capabilities of a company which is driven by the leadership style in the company. This another point to develop for another Point of View.

A strategy aligned on what the customer is expecting from the company allow the company to better allocate its resources. In this assumption, the energy, the money and the staff allocated to maintain a customer service of quality can be re-allocated to look for lower prices in the supply chain and can spend more time for example looking for lower prices on the market of the suppliers for the company. By moving resources from a department that didn’t respond to customer needs to an other that fit with customer expectations, the strategy is more adapted, aligned, with the market environment.

L’Oreal Europe is a good example of a re-allocation of resources. This world wide company used to have a specific strategy (products, image, …) in regards of the country they were doing business with. Each subsidiary in each country had to support a different supply chain and all the departments ( accounting, logistics, HRM, …) working around the core activity. Considering the European market as one big place to sell product and adding the differentiation at the lowest level on the chain instead of trying to develop a wide

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, Considering European, L’Oreal Europe, customer satisfaction, level customer satisfaction, level customer, customer service, buying behavior, aligned market, buying behaviors, lower prices, customer service quality, energy money, satisfaction company, supply chain, customer satisfaction company,