1. Competitive advantage A distinctive competence is a unique firm-specific strength that allows a company to better differentiate its products and/or achieve substantially lower costs than its rivals and thus gain a competitive advantage. Resources are financial‚ physical‚ social or human‚ technological‚ and organizational factors that allow a company to create value for its customers. Company resources can be divided into two types: tangible and intangible resources. Tangible resources are something
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Corporate Strategy "Sources of competitive advantage rarely yield added value that can be sustained over time." The following essay is going to attempt to assess the above proposition and try to find if it is possible to add value continually over a period of time. I will first discuss what competitive advantage is and what it means to a firm. Then I will explain the sources of competitive advantage and how the distinctive capabilities of a firm allow it to sustain added value. The discussion
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COMPETITIVE ADVANTAGE 1) The petrochemical industry produces goods that are largely undifferentiated. To be profitable‚ PCG need to be the lowest cost producer. Raw materials form the majority of PCG cost of revenue. PCG competitive advantage is‚ it has access to very low cost natural gas compared to its competitor‚ which in turn‚ means a higher gross profit margin. 2) PCG is backed by PETRONAS group‚ which also owns other 4 PLC units: i) MISC Bhd ii) Petronas Dagangan Bhd iii) Petronas
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HBC 229N Analysis for Competitive Advantage Group Assignment Semester 1‚ 2012 Australian Company: Qantas Airways Ltd and Billabong International Limited Group Member: Erica Wee 418 5641 Deborah Kusiima 743 4006 Sabbir Ahmen 743 3840 Christina Chin Fung Fung 4201434 Executive Summary This report comprises of specific research on Qantas Airways Ltd. and Billabong International Ltd. (BBG) and their industries. In addition‚ primary sources such as the company’s official website
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COMPETITIVE ADVANTAGE Companies all seek a competitive advantage‚ as that will give them the opportunity to sustain profits that exceeds the average in their industry. The three major competitive advantages are differentiation‚ cost and response. Companies can therefore either gain a competitive advantage by offering a unique product differentiation‚ by offering similar products at a lower cost or by offering products at a time and place where the customer are in need of the product. Differentiation:
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Very simply‚ the term competitive advantage means the positioning a firm takes in relation to other firms in its industry. According to Michael Porter‚ there are three different way to sustain a competitive advantage. These three different strategies are cost leadership‚ differentiation‚ and focus. The term cost leadership describes when a firm provides the same or similar services or products as other firms but does so at a lower price. The term differentiation means a firm offers a superior
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A competitive advantage is an advantage over competitors gained by offering consumers greater value either by means of lower prices or by providing greater benefits and services that justify higher prices. Competitive strategies 1. Differentiation-this involves selecting one or more criteria used by buyers in a market. It is about charging a premium price that more than covers the additional production cost and about giving customers clear reasons to prefer the product over other‚ less differentiated
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Table of Contents INTRODUCTION 2 ENVIRONMENTAL ANALYSIS 2 PESTEL Framework Analysis 2 Michael Porter 5 forces analysis 4 Discussion further from the environmental analysis 7 STRATEGIC CAPABILITIES ANALYSIS 8 Strategic capabilities identification 8 Discussion from the Strategic Capabilities Analysis 11 Recommendation for long-term development 11 CONCLUSION 12 REFERENCES 13 INTRODUCTION Banking industry in New Zealand is a developed industry and has a long time history of
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ADVANTAGES OF PRIVATE PARTIES( EG: RELIANCE POWER) 1.Private Parties can bargain for prices with suppliers. 2.They are using Chinese Power Equipments. 3.The Limiting Factor of NTPC in competitive bidding are CVC Guidelines which do not allow Commercial secrecy of bidding offers submitted to NTPC by the vendors. NTPC Bidding Process Before submitting bids for the power projects‚ NTPC invites bids from its vendors who supply equipment for the project. NTPC decides its bid on the basis of
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of comparative advantages‚ does international trade always benefit the lower income group in a poor country? Who do they trade with? Who are the poor countries? Define by using GDP per capita (usual gauge). Thus China can be considered as a poor country. Among the poorer group‚ they are richly endowed in labor. Poor countries tend to have more workers than machines. They’re comparative advantage lies in their labor industries. According to theory of comparative advantage‚ the workers will
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