Company's Competitive Advantage

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A competitive advantage is an advantage in some way that has a company to other companies in the same sector or market, and allowing you to have a better performance than the companies and thus a competitive position in the sector or market.

Some areas in which a company could have a competitive advantage are the product, the brand, customer service, production process, technology, personnel, infrastructure, location, distribution, etc.

which it is a competitive advantage

For example, a company might have a competitive advantage in the following cases:

to have a single innovative product and difficult to imitate by competitors, which allows you to differentiate or distinguish this. to have a valuable brand that allows that any product entering …show more content…

allow an increase in profitability : should allow the company to have an increase in profitability that at least reaches placed above the average profitability of the sector or market. be sustainable over time : it should be able to stay in the medium or long term; for example, a technology able to adapt to market changes and not one that will shortly become obsolete. be elusive or even : to be elusive or even by the competition; for example, a product difficult to imitate by competitors due to its unique components.
The idea of the concept of competitive advantage is that a company must constantly seek obtain, maintain that or those who already have, and make the most of, if you want to achieve a better performance than other competing companies, and thus have a position competitive in the sector or market.

There are several ways to gain a competitive advantage, but the two main ones are looking for a cost leadership (a comparative advantage or cost advantage), and seek a differentiation (a differential …show more content…

Maintaining a competitive advantage could mean that advantage to strengthen it more lasting and meaningful; for example, if a company 's competitive advantage your sales force, keeping it could mean finding new and better ways to train them.

While maximize competitive advantage could mean attempt to obtain the maximum benefit from this; for example, if a company has a competitive advantage an alliance with a strategic partner, make the most could mean seeking new agreements with such partner; or if you have a competitive advantage to its distribution system, make the most of it could mean using the system to sell other complementary products already sold.

Finally, take advantage of a competitive advantage it could also mean convert that advantage into a business opportunity; for example, if a company 's competitive edge knowledge and technology needed to produce a product that already exists in the market, but with higher quality, make that advantage could mean that product to the market

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