Why a superior organisation is one of the last sustainable sources of competitive advantage?
Why a superior organisation is one of the last sustainable sources of competitive advantage?
Superior organisation of modern days has a lot of challenges ahead of them. We live in so called global village and are no longer bonded to one physical address, therefore the biggest competition of every company can be literally found on the other side of the globe, all credits modern technologies. What is more important “the gains previously to be had from market protection, propriety technology, and scale economies have become steadily eroded by trade liberalization, technology transfer, and the development of flexible production technologies”. (Child J, 2005. pp 3-4)
Aviation is simple example that on the past few decades was forced to evaluate to meet customers expectations and adapt to changing world. My organisation, Emirates Airlines (EK), is very bright example why providing right competitive advantage is key factor to success and its “Organization, on the other hand is an asset that each company has to develop to suit its needs and situation, and it cannot be bought off-the-shelf.”(Child J, 2005. pp 4) The competition on the market is fierce and legacy carriers like Air New Zealand and Air Canada had to find the edge to fight back price offered on growing low cost carriers (LCC) market. That also positioned EK into the same position of looking for the market niche. A common solution with most of the carriers was to turn them into either to LCCT or deploying their subsidiary brands which was in that kind. Neither of them suited EK and they came up that and they adopted different strategy than anyone else. They realize they don’t want to be perceived as an airline they want to be associate with lifestyle brand, Hence last year campaign and new slogan “Hello tomorrow”. That was definitely unusual within the market.
Emirates has also some sort of good hand to finding new opportunities in the markets where countries “free sky” carriers. That gave the
Superior organisation of modern days has a lot of challenges ahead of them. We live in so called global village and are no longer bonded to one physical address, therefore the biggest competition of every company can be literally found on the other side of the globe, all credits modern technologies. What is more important “the gains previously to be had from market protection, propriety technology, and scale economies have become steadily eroded by trade liberalization, technology transfer, and the development of flexible production technologies”. (Child J, 2005. pp 3-4)
Aviation is simple example that on the past few decades was forced to evaluate to meet customers expectations and adapt to changing world. My organisation, Emirates Airlines (EK), is very bright example why providing right competitive advantage is key factor to success and its “Organization, on the other hand is an asset that each company has to develop to suit its needs and situation, and it cannot be bought off-the-shelf.”(Child J, 2005. pp 4) The competition on the market is fierce and legacy carriers like Air New Zealand and Air Canada had to find the edge to fight back price offered on growing low cost carriers (LCC) market. That also positioned EK into the same position of looking for the market niche. A common solution with most of the carriers was to turn them into either to LCCT or deploying their subsidiary brands which was in that kind. Neither of them suited EK and they came up that and they adopted different strategy than anyone else. They realize they don’t want to be perceived as an airline they want to be associate with lifestyle brand, Hence last year campaign and new slogan “Hello tomorrow”. That was definitely unusual within the market.
Emirates has also some sort of good hand to finding new opportunities in the markets where countries “free sky” carriers. That gave the
Bibliography: Child, J. (2005) ‘Organization: contemporary principles and practice’. Malden, MA: Blackwell Publishing p. 3-23. Hazledine, T (2011), 'Legacy carriers fight back: Pricing and product differentiation in modern airline marketing ', Journal Of Air Transport Management, 17, 2, pp. 130-135, Social Sciences Citation Index, EBSCOhost, viewed 21 September 2013.