ABSTRACT
Firms that adopt a confrontation strategy must become experts at developing low-cost, high-quality products that have the functionality customer’s demand. The firms in the sample have applied single-piece principles wherever possible throughout the value chain of the product. They all use lean production philosophies, producing products one at a time. Most of the existing literature on competition is based on the assumption that firms can develop sustainable, product-related competitive advantages and avoid competition by adopting the generic strategies of cost leadership and product differentiation. Firms that believe they are strong enough to survive need to develop the systems, organizational context, and culture required for the aggressive management of the survival triplet. Survival is achieved by creating an endless stream of temporary competitive advantages through aggressive management of the survival triplet. Three factors drive alterations in the position of a survival zone: changing customer preferences, the way in which competitors manage the survival triplet, and the firm's distinctive competencies.
