[Generic Competitive Position Analysis 1/2]
In order to enjoy economic profits and absolute
control in the parliament, the PAP has to continue its integrated strategies. The party has to position itself as a low-cost
leader and at the same time, to be different from other political parties in
Singapore. It will continue to contest all the parliament seats and most likely
it is the only party to do so in the next election.
In 2011 General Election, except one group (5 members)
constituency, all other parliament seats were contested. There were 6 opposition parties participated
in the election. The number of seats each
party contested ranging from 7 to 24. No
single party, besides the PAP, has contested more than one-third (27) of the
seats.
The weak points of PAP Integrated Strategies are opposition
parties will concentrate on the low-cost focused market and niche (focus
differentiation) segment. The dilemma of “stuck in the middle” is real. This had
happened in 2011 when the main opposition party, The Workers’ Party (WP), made
a breakthrough in one of the group constituencies. No opposition party has ever
won a group representation constituency since its establishment in the 1980s.
Table 1: Generic Competitive Position
http://www2.ifm.eng.cam.ac.uk/dstools/gif/genstra.gif
Source of competitive advantage
The PAP is a dominant party. To maintain a one-party state for so long
itself is already a very unique situation. It has resources and candidates
contesting all the seats. They have
experience, expertise, first mover advantage, brand, suppliers support and advertising
(media control and promotion) at their sides.
Competitive scope within industry
The PAP is aiming to be the government so it has to be
broad base and representing all Singaporeans.
Its competitive strengths cannot only be in a niche market (e.g.
professionals, foreign-born citizens) or focused on low cost (e.g. lower income
voters, certain racial or religious groups).
Integrated Strategies
It is like Toyota, aiming to be the cost leader as
well as to continue differentiating from other car manufacturers. The PAP is
even in a better position than Toyota. There are no strong alternatives or
competitors; heavy investment on R&D (regulations and boundary changes,
think tanks) and human resources (scholarships to potential candidates) can be
sponsored by the government funding; free advertising are carried out by the main
stream media, etc.
As a result, the PAP is able to market itself with
very little cost. Their logo is known to
everyone at all market segments from young to old, from different race or
language or education background. At the same, they also have die-hard supporters
who are willing to pay higher price (even the party makes mistakes) to vote for
the PAP. They have also free access to
niche markets like grass roots organization, religion bodies, chambers of
commerce, clan associations etc.
Challenges are from focus on low cost and niche market
Since there is no broad base opposition party with
strong differentiation characters, the only breakthrough that an alternative
party can achieve is to focus on certain areas (to save costs and reach economy
of scale) and niche market (traditional opposition strongholds).
WP is able to make the breakthrough by concentrating
in the eastern part of Singapore. They have concentrated all their resources in
certain constituencies in the east and maintain constant contacts and
communications with buyers.
Political Ideology Vacuum
According
to Wikipedia, in the past 50 years the PAP has transformed its political
ideologies from a historical perspective of anti-colonialism
and democratic socialism to the
modern day of social conservatism, fiscal
conservatism, Third-way and anti-communism.
In short, the PAP political position is moving from left to right or
centre-right. A shift of position also
means its old position (left or centre-left) is taken up by other opposition
parties.
A
new political normal in fact will see the emergence of centre-left political
forces in Singapore. The reduced PAP Economic Profits or even Normal Profits
will be taken over by these forces in the next elections.
The
protest of Population White Paper, the unhappiness of housing, medical,
rich-poor gap, education, etc. clearly show that the PAP is unable to satisfy left,
centre-left or even centre voters. The engagement level of National
Conversation is another example. It
seems to show that the PAP is talking to its own supporters.
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