Cohesion Case Study Competitive Advantage

2.Competitive Advantage – It includes the best product of an Organization in the competitive market.

Competitive advantage exists when a firm has strategy, product or an attribute that makes the firm capable of delivering similar benefit to that of competitors at a cheaper cost. Having competitive advantage is not enough the company should be capable of sustaining that particular competitive advantage for a longer period of time.

Competitive advantage is the point of power for any organization as it is the point from which an organization can maximize it's profits if it's been planned for it well .

Competitive advantage is that a company has better ability in earning profit and profit growth compared to its competitors for the same group of customers in one industry.

Competitive advantage(CA) is an advantage competitors gain by providing or offering customers or consumers greater value for their money through product and service differentiation or through lower prices. Maintaining competitive advantage is crucial to many businesses or organizations' success in order to survive in the market. Competitive advantage is characterized by superior performance which could be an attribute to outperform the competitors whether current or potential; or gaining a higher market share in a particular industry thereby ensuring market leadership; or ultimately, maximization of profit.(JOBBER 2010)

A competitive advantage is what differentiate you from the competitors in the eyes of your customers. Whether you are an employee, a business or a country, you need to have an adequate competitive advantage and deliver it to your customers. Before you can set your competitive advantage, you had to find out these three imperatives(Aaker, D. 1989):

When firms achieve the overall business objectives; operational excellence; new products, services, and business models; customer/supplier intimacy; and improved decision-making chances are they have already achieved a competitive advantage. Doing things better than your competitors, charging less for superior products, and

Competitive advantage is the act of a firm being in a more favorable position in the market that its rivals when it comes to operation. McGrath(2013) stated that competitive advantage can be displayed regarding having affordable products or services and having quality product or service. Quality of service or quality is one way to which a firm can beat rivals in endearing itself into customers. Customers prefer consuming the best quality in the market, and the firm with the best quality makes more sales. Affordability of a product or service is another way a firm creates a favorable position among consumers. Customers prefer to purchase an affordable product or service where the substitutes presented to them are of the same quality. A firm with competitive advantage has a higher number of sales from repeat and new customers. The high quality and affordability make customers keep purchasing the product as new customers are attracted to the business at the expense of rivals.

A company has a competitive advantage over its rivals when its profitability is greater than the average profitability of all companies in its industry.

Competitive advantage is a position of a company in a competitive landscape that allows the company earning return on investments higher than the cost of investments. Competitive advantage should be relevant, unique and sustainable. Therefore sustainable competitive advantage, it’s a long-term competitive advantage that a company own over others in the same sector that is not easily duplicated or surpassable by its competitors (wikipedia, 2009). Competitive advantage can also be seen as a superiority gained by an organization when it can provide the same value as its

Our coffee has always been, and will always be, about quality. Our employees are called partners, because it is not just a job, it is our passion. We treat each other with dignity, and respect, and hold each other to the same high standards. We connect with our customers; we laugh with, and bring a smile to their life. Making the perfect cup of coffee is one part of our role, connecting with them on a personal level is the other part. In each community we serve, Starbucks takes pride in being a part of the

Competitive advantage is explained by Mahoney and Pandian (1992) as the function of industry analysis, organizational governance and the firm’s effects in the form of resource advantages and strategies. In order for a firm to be competitive it must adapt to the volatile business environment and through strategic management decisions establish a competitive advantage that will ultimately produce superior performance relative to its competitors (Akimova 2000).

In order to achieve competitive advantage, a firm must perform one or more value-creating activity that is more superior compared to other competitors. Superior value is created through lower costs or superior benefits to the buyers.

Porter’s five forces analysis not only provides the ideas to create the strategic plan but also assesses the attractiveness of an industry.

*  A competitive advantage is one that distinguishes a firm or a business from the competitors in the minds of the customers. It also refers to the state or ​condition that make a ​business more ​successful than the ​businesses it is ​competing with, or a particular thing that makes it more ​successful such as having a higher sales through offering low or affordable goods and services.