Strategic Typology Model: Miles & Snow: 1978

I. Introduction

1. The Strategic Typology Model, most famously developed by Raymond Miles and Charles Snow in their 1978
2. The model suggests that companies generally follow one of four distinct strategic “types” based on their rate of product-market change and their commitment to innovation.

1. The Prospector: Innovation

• Prospectors are the “innovators.” They are constantly looking for new market opportunities and are comfortable with uncertainty.

2. The Defender: Cost control as primary focus

• Defenders are the “efficiency experts.” They focus on a narrow, stable market segment and work aggressively to keep others out.

3. The Analyzer: Exploit niches in the market place

• Analyzers are the “fast followers.”
• They sit between Prospectors and Defenders.
• They let Prospectors take the initial risk of innovating, then move in with a more polished or efficient version of that product.

4. The Reactor: Highly competitive and slave of the environment

• Reactors are “strategic failures.” They lack a consistent plan and only change when forced to by external pressure.