porter, for example, identifies two generic strategies : 1 overall cost leadership ; and 2 differentiation. in his discussion of skills, resources and organizational requirement needed for each strategy, porter alludes to a strategy-manager match and considers some of the HRM policy implications that grow out of this match. a cost leadership stratery is based on the experience cost curve concept. this strategy places the company in a low-cost position where it can earn above-average returns despite strong competition. under a cost leadership strategy, job requirements are those of establishing tight cost controls, making frequent reports,enforcing strict rules, and establishing incentives based on quantitative methods.