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Friday, October 18, 2013

Proactive vs Reactive

Within the strategy of proactive and reactive, there are its own pros and cons. Yet what could be the main factors on people’s choice within these two strategies?

In general, there are five factors that can create a decision whether to choose the route of proactive or instead reactive:

- The chances of growth: This is determined by Growth-Opportunity matrix of the company
- Innovation protection: This is determined on the patent of the products being targeted
- Market scale: Being determined on the economies of scale, both for the company and market
- Level of competition: the chances of the products being copied by the competitors
- The position of system distribution: determined by the strength to innovate

Those factors have brought about a huge impact in the decision making, where in here, every decision made is vital. Every strategy being used can determine on the success of the process and the profit towards the company, whether in the form of material or immaterial.

It is not always a successful choice on choosing proactive as a strategy, and not always a negative choice in using reactive as strategy. In the process, it is determined on how the situation of the company and the products are, and how the implementation is done until the launch of the product development.


The choice is yours.. Proactive or Reactive?


For more details on Proactive and Reactive, please contact:
KIRTI PARKASH
+62 21 8378 3288
kirti.parkash@frontlinerinc.com

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