Question: Business

Discuss the following once you have read the case study below:

1. Using Porters generic strategies, identify and evaluate the business-level strategy used by Ackermans.
2. Discuss how Ackermans management can use absorptive capacity to ensure successful innovation.

Case Study:

Ackermans offering Gus Ackerman opened the doors to the first Ackermans store in 1916 in Wynberg, Cape Town, with a vision of making value-for-money products affordable to everyone. Today, there are more than 890 Ackermans stores operating in six countries, and his vision remains at the heart of them all. The Ackermans brand appeals to the value-seeking consumer and attracts a broad audience. Ackermans customers juggle many roles and responsibilities and are generally strongly family-focused. Ackermans offers value-for-money products at competitive prices, along with multiple payment options. These are supported by a strong service culture, a focus on store accessibility and a busy promotions calendar. Each Ackermans store strives to make products affordable to everyone, and the Ackermans experience centres on the philosophy of Bringing Value to Life. This idea guides Ackermans employees in their work and gives the brand focus as it seeks to bring value to customers, employees and local communities.