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Sustainable Competitive Advantage (SCA) How to survive against your competition over a long period of time |
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By Vadim Kotelnikov, Founder, Ten3 BUSINESS e-COACH – Innovation Unlimited!, 1000ventures.com
sustainable competitive advantage, sustainable competitive advantage, sustainable competitive advantage, sustainable competitive advantage, sustainable competitive advantage
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"True progress in any field is a relay race and not a single event." – Cavett Roberts |
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Five Criteria of Sustainable Competitive Advantage |
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6Ws of Corporate Growth |
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Creating Competitive Disruption: 7 Strategies |
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What is Sustainable Competitive Advantage?
Sustainable competitive advantage allows the maintenance and improvement of the enterprise's competitive position in the market. It is an advantage that enables business to survive against its competition over a long period of time.
Todays' Era of Hypercompetition
Hypercompetition is a key feature of the new economy. New customers want it quicker, cheaper, and they want it their way.
The fundamental quantitative and qualitative shift in competition requires organizational change on an unprecedented scale. Today, your sustainable competitive advantage should be built upon your corporate capabilities and must constantly be reinvented.
Distinctive capabilities are the basis of
your competitive advantage.
According to the new
resource-based view
of the company, sustainable competitive advantage is achieved by
continuously developing existing and creating new resources and
capabilities in response to rapidly changing market conditions.
Among these resources and capabilities, in the new economy, knowledge represents the most important value-creating asset.
The opportunity for your company to sustain your competitive advantage is determined by your capabilities of two kinds – distinctive capabilities and reproducible capabilities - and their unique combination you create to achieve synergy. Your distinctive capabilities - the characteristics of your company which cannot be replicated by competitors, or can only be replicated with great difficulty - are the basis of your sustainable competitive advantage. Distinctive capabilities can be of many kinds: patents, exclusive licenses, strong brands, effective leadership, teamwork, or tacit knowledge. Reproducible capabilities are those that can be bought or created by your competitors and thus by themselves cannot be a source of competitive advantage... More
People as the Main Source of Competitive
Advantage
Your technologies, products and structures can be copied by competitors. No one, however, can match your highly charged, motivated people who care. People are your firm's most important asset and, the same time, its most underutilized resource. People are your firm's repository of knowledge and skill base that makes your firm competitive. Well coached, and highly motivated people are critical to the development and execution of strategies, especially in today's faster-paced, more perplexing world, where top management alone can no longer assure your firm's competitiveness7... More
Corporate Culture as a Fundamental Competitive Advantage
The strength of your organization's culture is one of the most fundamental competitive advantages. If you can build and preserve an innovation-adept culture, a culture of commitment, one where employees passionately pursue your organization's cause and mission, you will be better positioned for success... More
Systemic Innovation
Innovation
used to be a linear trajectory from new knowledge to new product. Now
innovation is neither singular nor linear, but systemic. It arises from
complex interactions between many individuals, organizations and
environmental factors.
Firms which are successful in realizing the full
returns from their technologies
and innovations are able to match their
technological developments
with
complementary expertise in other areas
of their business, such as manufacturing, distribution, human resources,
marketing, and customer relationships...
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Cross-Functional Excellence
Although innovation is driven by technology, required competence extends beyond technical know-how. In the new knowledge economy and knowledge-based enterprises, systemic innovative solutions arise from complex interactions between many individuals, organizations and environmental factors. The boundaries between products and services fade rapidly too. If you wish to be a market leader today, you must be able to integrate in a balanced way different types of know-how that would transform stand-alone technologies, products and services into a seamless, value-rich solution... More
Radical Innovation
Long-term corporate success linked
to the ability to innovate. Although corporate investment in
improvements to existing products and processes does bring growth, it is
new game changing breakthroughs that will launch company into new markets,
enable rapid growth, and create high return on investment....
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The Art of War
By: Sun Tzu You must move as quickly as the wind.
The value of time, that is of being a little ahead of your
opponent, often provides greater advantage than superior numbers or greater
resources
Case in Point 7-Part Competitive Strategy of Microsoft
Although Bill Gates, Founder of Microsoft, built his empire on technological products, his business mastery is even more important than his technical skills, and his competitive urge is a huge driving force.
The early success of Microsoft was founded on the company's 7-part competitive strategy... More
Continuous Improvement Firm (CIF)
CIF is a
firm continuously improving on customer value due to improvements in
productivity initiated by the members of the general work force.
Top 7 Principles For Transforming Your
Business From Mediocre To Great
Always Seek the Edge.
In 1954, Roger Bannister did the seemingly "impossible" and ran
the first 4 minute mile. When asked how he did it, he said "It's
the ability to take more out of yourself than you've got.'" How
can you "take more out of yourself than you've got" to achieve
the seemingly impossible in your business?...
Leadership
Leadership is the necessary condition for long-term competitiveness. In
particular in the
knowledge economy, what is proving
to be most effective is "the emerging style of
values-based leadership, both as
motivation for constant innovation up and down all organization levels and
as a source of unity and coherence across fragmented firm boundaries."4
Harnessing your abilities to
lead
through the power of intellect, will, persistence, and
vision creates synergies that propel successful companies in the quest
for, and achievement of, competitive advantage...
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Customers for Life
By:
Brian Tracy
The two most important words to keep in mind in developing a
successful customer base are
Positioning
and
Differentiation.
Differentiation refers to your ability to separate yourself and
your product or service from that of your competitors. And it is
the key to building and maintaining a competitive advantage.
This is the advantage that you and your company have over your
competitors in the same marketplace
– the unique and special benefits that no one else can
give your customer...
You can find a strategic competitive advantage
in an organizational and cultural context by seeking to leverage, rather
than diminish, opposite forces. "An important but widely overlooked
principle of business success is that integrating opposites, as opposed to
identifying them as
inconsistencies and driving them out, unleashes power.
This is true on both a personal level and on
organizational level as well."2 To be successful in
today's complex, rapidly changing and highly competitive world, you must
embrace and manage critical opposites...
More
The key
success factor in this endogenous, incremental and continuous technological
and operational change is the organization and management of the firm in
such a way that all members are motivated to promote change and are
supported in their effort to do so. What is remarkable about the CIF is its
ability to operate simultaneously in all innovative arenas: new products,
new technology, new organizational forms, and new customer relationship
management.
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Discover much more in the FULL VERSION of e-Coach |
Competing: The Art, Science, and Practice...
Defining Your Core Competences: 3 Main Characteristics...
Owning Your Competitive Advantage...
Two Basic Ways to Compete and Prosper in Any Market...
Three Common Traits of Marketplace Champions...
Three Primary Sources of Distinctive Capabilities...
Leveraging the Power of Knowledge...
The Power of Connectivity...
Value Innovation...
Inclusive Approach...
Sustainable Business Models...
Barriers to Entry as a Source of Competitive Advantage...
Building on Your Core Competencies and Accessing Missing Ones...
Dynamic Strategy as a Source of Sustainable Competitive Advantage...
The Role of Intellectual Property Rights (IPR) and Strategy...
Enterprise-wide Business Process Management (EBPM)...
Virtual Integration as a Source of Competitive Advantage...
Creating a Workforce that Would Provide a Competitive Advantage...
Trust as a Source of Competitive Advantage...
Tacit Knowledge as a Source of Sustainable Competitive Advantage...
Creative Leadership...
7-S Model – How To Best Organize Your Company for Competitive Advantage...
Behaving Like a Small Company...
Moving with Speed - Staying Ahead of Your Competition...
Case in Point General Electric (GE)...
Case in Point Dell Computer Corporation...
Case in Point Warren Buffet's Investment Criteria...
Case in Point
Case in Point
Case in Point
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