A recent article talked about how Keurig Coffee has been sued by Club Coffee for breaking the competition laws. Keurig’s new one cup coffee making machine has a new technology that only allows the pods Keurig makes to fit in them. Club Coffee’s way of doing business was a low cost focus strategy. Meaning they only really have one product and focus on making it the best quality for as cheap as they can. Club Coffee doesn’t target individuals that are yet to have an interest in one cup coffee makers but instead they target the already existing market of one cup coffee drinkers. Meaning that all the buyers of the brand new Keurig machine were cut out of Club Coffees customer segment. Club Coffee needs Keurig and other names that make one cup coffee makers for their customer segment to even exist but that means that in this case Keurig can easily just cut them out of the business. If I was the CEO of Club Coffee and wanted to stay aggressive and reach a competitive advantage I would expand my products to not only making the coffee itself but also making a coffee machine. If Club Coffee would be able to make a cheaper yet just as reliable one cup coffee maker than they wouldn’t have to count on other business to make their business possible.