country
$20 Bonus + 25% OFF
Securing Higher Grades Costing Your Pocket? Book Your Assignment at The Lowest Price Now!
Add File

Error goes here

What Is Meant By Competitive Advantage? Different Ways a Company Can Have It

Referencing Styles : MLA | Pages : 1

The functionality of competitive advantage allows organizations to develop features and applications for building unique position in the market. The application of competitive advantage act as a leverage for competitors of a business. The competitive advantage in an organization can be built with the association of increased value offerings for the target customers. Structuring the promotion strategy for communicating the features of the product offerings like improved quality and/or lower price, can effectively target the desired group of consumers. The reasons behind the phenomenon of brand loyalty and brand recognition is the application of strategic competitive advantages. The understanding of the conception of value proposition is important for the structuring of competitive advantage. Competitive advantages of organizations can be created through the structuring of value proposition, which comprises of the additional values based on the demand and preference of target group. The values perceived by the consumers can determine the effectiveness of competitive advantages for an organization. The preferences of consumer for specific product or service offerings can be improved by offering relevant value propositions. According to the study of Michael Porter, there are two ways by which organizations can develop competitive advantages, through the application of differentiation advantage and by incorporating cost advantages for the target customers.

The advantages of differentiation can be constructed by the incorporation of better service or product value with unique characteristics in comparison to the competitors. The cost advantage in an organization can be constructed by adopting the lower pricing strategy in comparison to the competitors’ offerings. The conditions included in competitive advantage enables the enhancement of productivity of organizations with decent margin in comparison to the rivals in market.  The attributes of competitive advantages includes the elements such as customer service, intellectual property, quality offerings and improved distribution network. The benefits of competitive advantage stimulates higher values for organizations for depicting strength in the competitive market. Sustainable competitive advantages of organizations presents numerous challenges to the existent competitors in neutralizing advantages.

 There are two forms of competitive advantages, differential advantage and comparative advantage. The process of incorporating advantages in the product and service offerings of an organization, which is considered superior in comparison to the competitors, reflects the conception of differential advantages. The key drivers of differential advantages are, superior group of personnel, patented processes and products, recognizable brand identity and advanced technological implication. The benefits of constructing competitive advantages for organizations are higher market shares and wide sales margins. The comparative advantage depicts the capabilities of organization in incorporating values in the product and service offerings, which effectively and efficiently responds to the competition in the market. The strategy of incorporating values can lead to the outcome of higher profit margins, thereby forms competitive advantages. In case of rational purchase, the consumers will prefer to have an affordable or value added product or service.

Two major factors that helps in creating competitive advantages for organizations are geographical locations and internal system. The conception of competitive advantage is not limited to offering lower cost and higher value of the product and/or service offerings. Offering same values in lower price can also be a strategy for creating competitive advantage. In case of international trade values, the opportunity costs of products reflects the comparative advantages. One of the examples of comparative advantage is Amazon, the online retailer is focused on constructing comparative advantage by creating unique values and offering products at discounted prices in comparison to the traditional retailer. The effectiveness of the organization’s strategy can be understood by the challenges created for traditional retailer like, convenience, lower price and availability of numerous options.

There are three ways of implementing competitive advantages, cost leadership, differential strategy and focus strategy. Cost leadership depicts the formulation of lower costs for the products and services in relation to the competitors. Selling similar products in less price in comparison with the existing competitors can lead to the construction of competitive advantage of organizations. The strategy of cost leadership creates price values for customers. Creating product offerings different from the competitors leads to the strategy of differential strategy. In accordance with the study of Michael Porter, the product offerings should be constructed in a manner that can respond the increasing competition in market. In the case of implementing differential strategy, organization launches innovative products that can be challenging for the competitors to neutralize. The incorporating of the strategy of differentiation can be costly and time consuming, as it requires investment and efforts in product development, critical thinking for design formation and marketing research for understanding the preferences and demand of target customers. Unique and innovative product and service values can lead to the willingness of paying more for the acquired offering. The strategic way of targeting a specific group of customers by not directing the focus towards everyone, depicts the conception of focus strategy. The focus strategy is usually adopted by smaller businesses and organizations offering niche products. Smaller businesses do not have the capability of sourcing required amount of resources for targeting mass population. Organizations selling niche products targets a specific group of customers for creating premiumness. In this way of implementing competitive advantage, businesses need to direct their focus on the understanding of consumers’ need and preferences. Acquiring valuable feedback and reviews on the offerings can play a significant role in organization.  This strategy includes the incorporation of segmentation approach. The organizations undergo strategic segmentation strategy for dividing the population.

The facilitation of competitive advantage can only be executed by creating a balance between price and quality. The decision of selecting any one of the two areas of decision can limit the scope of success of organizations. The main factor influencing the construction of competitive advantage is the inclusion of innovation in the production process of the offerings, as it can enhance brand loyalty, stimulates brand identity and creates brand recognition in the organizations. One of the main driving force for constructing competitive advantage in organizations is value creation by improving the quality, pricing structure and innovativeness.

Solutions

OR

MyAssignmenthelp.com boasts a talented team of homework help tutors who help students to write homework assignments perfectly. Students, who are searching for answers for can someone do my homework for cheap find our services worthwhile. The reason being our experts provide high quality help with homework writing at affordable prices. Despite providing reasonable academic assistance, we never compromise with the quality of the papers. Some of our popular services are Math homework help, finance homework help, finance homework help, management homework help, etc.

Save Time & improve Grade

Just share requirement and get customized Solution.

watch
question
We will use e-mail only for:

arrow Communication regarding your orders

arrow To send you invoices, and other billing info

arrow To provide you with information of offers and other benefits

Add File

Error goes here

1,543,628

Orders

4.9/5

Overall Rating

5,108

Experts

Our Amazing Features

delivery

On Time Delivery

Our writers make sure that all orders are submitted, prior to the deadline.

work

Plagiarism Free Work

Using reliable plagiarism detection software, Turnitin.com.We only provide customized 100 percent original papers.

time

24 X 7 Live Help

Feel free to contact our assignment writing services any time via phone, email or live chat. If you are unable to calculate word count online, ask our customer executives.

subject

Services For All Subjects

Our writers can provide you professional writing assistance on any subject at any level.

price

Best Price Guarantee

Our best price guarantee ensures that the features we offer cannot be matched by any of the competitors.

Our Experts

Assignment writing guide
student rating student rating student rating student rating student rating 5/5

1692 Order Completed

98% Response Time

Alfred Dodd

PhD in Computer and Information Science with specialization in Database

Wellington, New Zealand

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

440 Order Completed

99% Response Time

Jack Arens

MBA in HRM

London, United Kingdom

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

2109 Order Completed

99% Response Time

Emma Zhong

Ph.D in Project Management with Specialization in Project Communications Management

Singapore, Singapore

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

203 Order Completed

97% Response Time

Richard Alpert

PhD in Psychology

London, United Kingdom

Hire Me

FREE Tools

plagiarism

Plagiarism Checker

Get all your documents checked for plagiarism or duplicacy with us.

essay

Essay Typer

Get different kinds of essays typed in minutes with clicks.

edit

GPA Calculator

Calculate your semester grades and cumulative GPa with our GPA Calculator.

referencing

Chemical Equation Balancer

Balance any chemical equation in minutes just by entering the formula.

calculator

Word Counter & Page Calculator

Calculate the number of words and number of pages of all your academic documents.

Refer Just 5 Friends to Earn More than $2000

Check your estimated earning as per your ability

1

1

1

Your Approx Earning

Live Review

Our Mission Client Satisfaction

thank you so much I get exactly what i need from first time the Dr. thank me that i make something unique and defrrant from the other students .thank you so much

flag

User Id: 525537 - 15 Jan 2021

Australia

student rating student rating student rating student rating student rating

Able to get my work done after few changes, which were done as per suggestion provided by us. Appreciate their positive approach for this

flag

User Id: 361833 - 15 Jan 2021

Australia

student rating student rating student rating student rating student rating

Amazing experience with you guys. I got 20/20. You are the best in the market i tried multiple sites but you guys gave best output.

flag

User Id: 427239 - 15 Jan 2021

Australia

student rating student rating student rating student rating student rating

good paper, thank you very much. i am looking forward to working with you. Recommended

flag

User Id: 536208 - 15 Jan 2021

Australia

student rating student rating student rating student rating student rating
What Is Meant By Competitive A... has been added in your library.
callback request mobile
Have any Query?