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Colliers International (Real Estate) Business Strategy

People consider the focused low-cost approach that Collier International employs to be an example of an exceptional value offer. It is not as simple as offering a reduced price to solve the problem. It is necessary for the firm to provide something that cannot be found elsewhere and that sets it apart from its rivals. Consumers are concentrating their attention on a specialized subset of the market in order to take advantage of a targeted low-cost approach that caters to their unique requirements (Mai, 2022). A business that sells car components, for instance, would profit from a cheaper price since the purchase of automotive parts is essential to running the business. A firm that delivers a one-of-a-kind product, such as a brand-new and ground-breaking component for automobiles, would profit from charging a greater price since the product satisfies a need rather than a desire (Halvitigali et al., 2019). This is due to the fact that our rivals are unable to provide the same product or service at a price that is lower than ours. Targeting the precise requirements of customers is the primary objective of the focused low-cost approach employed by Collier International. For instance, the firm offers car components, which indicates that purchasing them is something that many people really need to do. The firm serves its customers well by catering to a certain segment of the market and maintaining a cost-cutting approach that is laser-focused.

Colliers International (Real Estate) use the concentrated low-cost approach as part of their business plan because it enables the organization to have a cost structure that is more easily controlled (Bouchon & Rauscher, 2019). The corporation is able to retain a significant competitive advantage over its contemporaries because the expenses associated with its real estate assets are distributed over a vast number of properties (WANG & Just, 2021). In addition to this, the approach is effective since it is able to capitalize on shifts in market conditions. Colliers International is in a position to capture the benefits of a thriving real estate market while the industry is blooming. As a result of the decline in the market’s value, the corporation is in a position to cut its losses by unloading assets at reduced prices (Nirmul & Scott, 2020). Consequently, the reason why the concentrated low-cost approach is so effective is because it is able to adjust to the shifts that occur in the market. In addition, Colliers International is able to maintain a robust advantage over its competitors because it distributes the expenses associated with its real estate assets over a vast number of buildings.

References

Bouchon, F., & Rauscher, M. (2019). Cities and tourism, a love and hate story; towards a conceptual framework for urban overtourism management. International Journal of Tourism Cities. https://www.emerald.com/insight/content/doi/10.1108/IJTC-06-2019-0080/full/html

Halvitigali, D., Antoniades, H. E. R. A., & Eves, C. H. R. I. S. (2019). The rise of coworking and their implications on traditional leasing models. Pacific Rim Real Estate Society Inc. https://opus.lib.uts.edu.au/handle/10453/139004

Mai, N. C. (2022). Analysis of the Vietnamese commercial real estate market-Strategic investment implications for Evergreen Properties of Michigan, Inc. https://osf.io/preprints/3cya7/

Nirmul, D., & Scott, J. (2020). The New Resilient Built Environment: Perspectives from Investors and Owners of Private Buildings. In Optimizing Community Infrastructure (pp. 181-195). Butterworth-Heinemann. https://www.sciencedirect.com/science/article/pii/B9780128162408000100

WANG., B., & Just, T. (2021). Understanding China’s Real Estate Markets. Springer International Publishing. https://link.springer.com/content/pdf/10.1007/978-3-030-49032-4.pdf

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