11
-Summarize the discussion on page 505.
INNOVATION, ENTREPRENEURSHIP, AND THE GLOBAL STARTUP: Italian Entrepreneurs Combine Fashion and Function
In Italy entrepreneurship is successful creating rivalry in existing industries. Italians are individualistic and risk takers. Entrepreneurship has become elaborated in Italy; quite a few numbers of magazines celebrate these entrepreneurs.
According to Peter Drucker an entrepreneur is someone who would introduces innovation .He further explains how innovation is the specific instrument of entrepreneurship.
Leonardo de Vecchio an entrepreneur developed an innovative approach in the eyeglass fashion industry, an industry that was preexisting.
Dorino Della Valle another Italian entrepreneur developed an innovative idea to transform Tod’s S.P.A into what it is today.
Analyst Davide Vimercati notes, “Tod’s is proof that if you manage your brand consistently and you build brand equity over the years, you reach a stage where demand remains strong, even in tough times.”
16-1.
How 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 defined as “ an advantage over competitors gained by offering consumers greater value, either by means of lower prices or providing greater benefits and service that justifies higher prices”. When a company knows its competitive advantage, it will deliver superior perceived value relative to competitors. This definition suggests that, first; a company must have a clear understanding in which it competes, and the overall business environment. If a firm’s distinctive competencies allow it to attain the low-cost position in its industry, it cannot afford to lose ground to rivals seeking to bounce it. If a company competes via differentiation, it must be continually innovative to maintain or enhance the perceived uniqueness of its products.
INNOVATION, ENTREPRENEURSHIP, AND THE GLOBAL STARTUP: Italian Entrepreneurs Combine Fashion and Function
In Italy entrepreneurship is successful creating rivalry in existing industries. Italians are individualistic and risk takers. Entrepreneurship has become elaborated in Italy; quite a few numbers of magazines celebrate these entrepreneurs.
According to Peter Drucker an entrepreneur is someone who would introduces innovation .He further explains how innovation is the specific instrument of entrepreneurship.
Leonardo de Vecchio an entrepreneur developed an innovative approach in the eyeglass fashion industry, an industry that was preexisting.
Dorino Della Valle another Italian entrepreneur developed an innovative idea to transform Tod’s S.P.A into what it is today.
Analyst Davide Vimercati notes, “Tod’s is proof that if you manage your brand consistently and you build brand equity over the years, you reach a stage where demand remains strong, even in tough times.”
16-1.
How 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 defined as “ an advantage over competitors gained by offering consumers greater value, either by means of lower prices or providing greater benefits and service that justifies higher prices”. When a company knows its competitive advantage, it will deliver superior perceived value relative to competitors. This definition suggests that, first; a company must have a clear understanding in which it competes, and the overall business environment. If a firm’s distinctive competencies allow it to attain the low-cost position in its industry, it cannot afford to lose ground to rivals seeking to bounce it. If a company competes via differentiation, it must be continually innovative to maintain or enhance the perceived uniqueness of its products.