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Identifying Strategic Issues, Strategies, and Long-Term Objectives 95 Differentiation: If selling price is too high, buyers may become price sensitive despite customer loyalty or uniqueness Users may decide they do not need the special features (means of differentiation no longer provides value) Rival firms may imitate the product, decreasing product uniqueness Focus: Broad-range competitors may find ways to match focused organization's services Buyer preferences and needs may shift A competitor may find a smaller segment within the targeted market segment By completing Worksheet 7.02, "Does Your Organization Have a Generic Strategy?" mem- bers of the planning team will do the following: Explain which generic strategy best describes the organization's current strategy. If the orga- nization does not currently fit into one of these strategies, it may be "stuck in the middle" and unable to develop a long-term competitive advantage. Specify what particular generic strategy, if any, the organization should adopt to guide its future development and explain why this particular strategy was selected. Determine the appropriate generic strategy for an organization by completing Worksheet 7.02, "Does Your Organization Have a Generic Strategy?" 7.3 Grand Strategies Grand strategies provide a comprehensive general approach to guide the major actions neces- sary to accomplish the organization's long-term objectives. While any of these strategies could serve as the basis for achieving the organization's long-term objectives, airport organizations (par- ticularly those operating multi-airport systems) may choose to pursue more than one grand strat- egy. The most common grand strategies for airport organizations to pursue are the following: Concentrated Growth. A concentrated growth strategy directs an airport's resources toward capturing a larger market share by increasing the use rate of present customers or tenants, by attracting competitors' customers or tenants, or by selling the airport's services to new cus- tomers or tenants. This strategy has been adopted at Dallas/Fort Worth International Airport. Market Development. A market development strategy focuses on marketing the airport's exist- ing services to customers in new market areas. An example of this strategy would be Milwau- kee's General Mitchell International Airport, located 85 miles north of Chicago, advertising in the Chicago media market to attract new passengers for a website designed to implement this strategy at the airport.88 Product Development. A product development strategy involves developing new products for current markets. The low-cost, no-frills South Terminal at Austin-Bergstrom International Airport is an example of a product development strategy. Concentric Diversification. A concentric diversification strategy involves the pursuit of opportunities that are synergistic with an airport's core aeronautical services. An example of a concentric diversification strategy is the Columbus Regional Airport Authority's develop- 88 See www.flymke.com/ (accessed May 29, 2009).