Friday, December 27, 2019
The Nature of Competitive Advantage - 4497 Words
CONTENTS INTRODUCTIONâ⬠¦Ã¢â¬ ¦Ã¢â¬ ¦Ã¢â¬ ¦Ã¢â¬ ¦Ã¢â¬ ¦Ã¢â¬ ¦ pg. 3 DEFINITIONSâ⬠¦Ã¢â¬ ¦Ã¢â¬ ¦Ã¢â¬ ¦Ã¢â¬ ¦Ã¢â¬ ¦Ã¢â¬ ¦Ã¢â¬ ¦Ã¢â¬ ¦. Pg. 4 EXTERNAL ANALYSIS pg. 5 STEPP Analysis CONCEPTS a. Socio-Cultural/demographic issues affecting business. b. Technological Factors c. Economic factors d. Political and legal factors e. Physical/Environmental Factors IDENTIFICATION OF INDUSTRIES OPPORTUNITIES AND THREAT pg. 7 a) A Model For Industry Analysis- Porterââ¬â¢s Five Forces b) Rivalry c) Threat Of Substitutes d) Buyer Power e) Supplier Power f) Barriers to Entry / Threat of Entry g) Generic Strategies To Counter Theâ⬠¦show more contentâ⬠¦The capacity to be used, treated, or developed for a specific purpose. EXTERNAL ANALYSIS Analyzing the industry and the competition. Another important part of the strategic business planning process is the external analysis, in other words looking at the external environment. This incorporates a STEPP profile, an industry profile and competitor profiles. In relation to the environment you need to look at what the opportunities and threats to your business are. What factors could pose a threat to your business? Where are their gaps in the market that you could fill? STEPP Analysis, part of the External Analysis in the strategic business planning process is a crucial part of starting a small business. You must know your industry. STEPP Analysis â⬠¢ Social-Cultural/Demographic â⬠¢ Technological â⬠¢ Economic â⬠¢ Political ââ¬â legal â⬠¢ Physical/Environmental You may look at the above factors and think that they are out of your control, which is most cases they are. However, if you can monitor these, you can plan how your business will react to them. With these, donââ¬â¢t limit yourself to your own country, start thinking globally. What we are looking to achieve is a table of potential opportunities and threats which could affect your business. | | |STEPPShow MoreRelatedCompetitive Advantage Within An Organization1463 Words à |à 6 PagesThe purpose of this essay is to provide a comprehensive understanding of the competitive advantage concept and its challenging issues that are important for every firm to operate effectively and efficiently. This paper also outlines and discusses the theoretical of achieving sustainable competitive advantage within an organization and the viewpoint of this concept to the modern competitive environment. Competitive advantage, which has two main types: cost leadership and differentiation, helps firmsRead MoreTheory of Temporary Competitive Advantage1492 Words à |à 6 PagesTheory of Temporary Competitive Advantage The concept of competitive advantage is a critical one for businesses. This is a key indicator of market visibility, short-term profitability and long-term viability. Whether this advantage is drawn from product quality, customer service, marketing position, brand identity, distribution network or price point, the implementing firm will depend on this competitive advantage for its survival and its success. However, as the literature review here will demonstrateRead MoreHow Dynamic Capabilities And Thereby Enhancing The Value Of Resource -based View942 Words à |à 4 PagesScholars have criticized RBV for its inability to explain the mechanism by which resources contribute to competitive advantage. Some scholars consider RBV as a vague and tautological concept. The authors attempt to address some of these concerns. The authors focus on the nature of dynamic capabilities, the impact of market dynamism on dynamic capabilities and the evolution of dynamic capabilities. Nature of Dynamic Capabilities Authorsââ¬â¢ define Dynamic capabilities as ââ¬Å"the ï ¬ rmââ¬â¢s processes that use resourcesââ¬âspeciï ¬ callyRead MoreDynamic Capability Concept Of Strategic Management872 Words à |à 4 Pagestechnology. The ability of an organization to attain competitive advantage in the market is subject to innovation. Dynamic capability is unique because of competitive market position and path dependency. The Concept of Dynamic Capability Business organizations are composed of intangible and tangible assets. It is more challenging to manage the intangible assets. However, intangible assets are the main makers of sustainable value creation. Competitive advantage results from valuable skills, processes and capacitiesRead MoreThe Strategy Of A Firms Choice Of Strategy1568 Words à |à 7 PagesCritically discuss, using examples, the proposition that a firmââ¬â¢s choice of strategy depends on its analysis of, and response to, the competitive environment rather than the exploitation of the resources under its control. Nowadays ââ¬Å"strategyâ⬠has become one of the most commonly heard words in the business environment. This shows a need to be explicit about exactly what is meant by the word strategy. According to a definition provided by A.Chandler strategy is ââ¬Å" the determination of the basic long-termRead MoreHow Can A Company Measure Its Competitive Advantage?1561 Words à |à 7 PagesHow can a company measure its competitive advantage? How does a firm know if it is gaining or losing competitive advantage? Cite a global company and its source of competitive advantage? Competitive advantage is the ability of an organization to offer to the market the same products compared to the competitors at a lower cost through ââ¬Å"price, or providing a higher quality through differentiation that costs more than the competitors product. In fact, companies that compete in the same industryRead MoreSustainable Competitive Advantage Through Core Competencies in a Resource Based Approach1633 Words à |à 7 PagesQuestion: The ability of some firms to sustain longer term competitive advantage relates to their capabilities according to the resource based theory of the firm. Summarise this approach to explain why some firms perform better than others in an industry. Sustainable Competitive Advantage Within all economies there have always been firms that are destined for success and firms that are doomed to failure... or have there? Is this an inevitable outcome predestined by exterior market forcesRead MoreResource Based View1648 Words à |à 7 Pagesfrom the fact that it combines both strategic and organizational insights. Its aspiration is to try to explain the internal resources of a firm that can lead to the acquisition of sustained competitive advantage. Its fundamental concept is that, if an organization wants to achieve sustained competitive advantage, it should possess resources that are valuable, rare, inimitable and non-substitutable (VRIN). Some key terms should also be defined in order to avoid possible confusion. Internal Resources:Read MoreAlan Malachowski Focus in Competition Essays904 Words à |à 4 PagesAlan Malachowskiââ¬â¢s theory of The Evolutionary Paradigm has been interpreted amongst evolutions test for survival. The test measures how the most competitive business is bound to succeed the weakest organization within the trials of the marketplace. Evolution dictates how society will view companies that have a competitive advantage as being better than others within the same business line. When new competitors appear, the competition forces a company to either improve or become extinct and throughRead MoreHuman Resource Management : The Globalization And The Free Markets1448 Words à |à 6 Pages(Becker Huselid, 1998; Delery Shaw, 2001; Batt, 2002; Gong et al, 2009). Human Resource Managementââ¬â¢s (HRM) organizational systems are considered to be the source of sustaining the competitive advantage; this means employees start to represent and to be considered as an important source of competitive advantage (Barney, 1991; Pfeffer, 1994). According to Fey et al. (2008), the choice of HRMââ¬â¢s practices is very significant since firmââ¬â¢s HR have the ability to create high benefits but also it represent
Subscribe to:
Post Comments (Atom)
No comments:
Post a Comment