What are the competitive advantages of enterprises What are the advantages and disadvantages of the

Core competitiveness criteria.

Core competencies are made up of four criteria that are used to identify which resources and capabilities are core competencies. Strategic capabilities are also considered to be core competitiveness, and the four strategic capabilities refer to valuable capabilities, rare capabilities, capabilities that are difficult to imitate and irreplaceable capabilities. Therefore, they are also the competitive advantage of enterprises over their competitors.

The ability to meet these four criteria is not a core competency. Every core competency is a capability, but not every capability is a core competency. In practice, if a capability wants to become a core competitiveness, it must be "valuable and irreplaceable from the customer's point of view; From a competitor's point of view, it is unique and inimitable."

Only when the company's ability cannot be copied or imitated by competitors can the enterprise form a lasting competitive advantage. At some point, a company may gain a competitive advantage by leveraging valuable, rare, yet emulable capabilities. In this case, the length of time the competitive advantage lasts is a measure of how quickly competitors imitate products, services, and processes.

It is only by combining these four criteria that a company's capabilities can have the potential to create a lasting competitive advantage.

Valuable abilities.

Valuable capabilities are those that create value for the business by taking advantage of opportunities and mitigating threats in the external environment. Valuable capabilities drive the formation and execution of strategies that create value for specific customers. For example:

Initially relying on its delivery capabilities, Walmart Inc. started its business by offering a wide selection of brand-name products at low prices, and Walmart changed the way consumers think about value, letting them know they don't have to pay what many retailers demand**.

Rare ability. Rare capabilities are those that are available to a very small number of existing or potential competitors. When evaluating this criterion, we always want to find the answer to the question, which is "how many competitors have this valuable ability".

If a capability is possessed by many competitors, it is unlikely that a competitive advantage will be created for any one of them. Conversely, valuable and ubiquitous resources and capabilities may create reciprocal competition. Competitive advantage is only created when a company creates and develops those capabilities that are different from those that are not in common with its competitors.

For example, Dell's direct sales business model makes it more efficient than its competitors and allows it to grow faster than its peers. As a result, Dell's ability to shape and evolve its business model is rare.

The ability to be difficult to imitate.

Capabilities that are difficult to imitate are capabilities that other businesses can't easily build. There are one or three mixed factors that have the potential to produce abilities that are difficult to imitate.

Irreplaceable capabilities.

Irreplaceable capabilities are those that do not have strategic equivalents. It is the last condition for ability to become a competitive advantage, "that is, there must be no strategic equivalence of resources, although these resources themselves are not rare, nor can they be imitated." ”

The competitive advantage of an enterprise depends on the quality of the enterprise. The content is different depending on the industry. But there are some common main qualities. 1. Brand awareness 2, market share 3, core technology 4, corporate culture, 5 team building 6, financial advantage 7, industry experience 8 management ability, etc.

Competitive advantages vary from business to business.

It is nothing more than its own characteristics, characteristics or know-how; The products are popular with customers;

The advantages and disadvantages of the company's competition are divided into the following aspects:

1. Product quality: With the quality control throughout the whole process of product design and development, material procurement, production, quality inspection, sales, etc., the company has passed the strict quality system certification, which has been widely recognized by well-known customers, and the company's products have a strong competitive advantage in terms of quality;

2. Technical advantages: The company's R&D team has accumulated rich experience in the production process through a large number of production practices in the design practice, and has maintained a high technical level and yield rate;

3. Management advantages: The company has a stable management team, and most of the management personnel are veterans in the industry, with rich experience in R&D, design, production and sales. The company implements six sigma design (DFSS), six sigma quality control, lean production, TOC and other management tools, relying on the management information system to develop the best business, so the company has a strong management advantage;

4. The disadvantage of the enterprise is the factor formed by the enterprise itself in the process of production and operation and has a restrictive effect on the production and operation activities of the enterprise. For example, the lack of foresight of enterprise leaders, outdated employees, backward production equipment, imperfect management system, insufficient technological innovation, extensive cost management, low quality of employees, lagging corporate culture, lack of fist products, insufficient research and development strength, talent fault, lack of high-quality talents, etc., rather than unfavorable national policies, industry recession, too fierce competition, national export restrictions, high taxes, etc.;

5. Scale: Restricted by factors such as land, plant and production line, the company's production capacity is difficult to meet the growing product demand of downstream customers. With the rapid development of technologies such as the Internet of Things, artificial intelligence, and big data, the company's product demand will continue to maintain a rapid growth rate in the future.

6. Single financing channel: the company is in a capital and technology-intensive industry, and the size of the capital directly affects the company's production capacity and scale efficiency, while the company's financing channels are relatively single, mainly relying on bank loans and commercial credit financing.

There are 3 types of general competitive strategies:

1. Cost leadership strategy.

That is, to keep the cost of their products or services lower than that of competitors in the same industry for a long time. Because of the reduced cost and increased profits, enterprises can adopt a low-price strategy, and the brand will be more competitive. Toyota is known for its pursuit of perfection.

However, in order to adapt to the increasingly fierce market competition, Toyota also attaches great importance to reducing the cost of automobile manufacturing and making its products more competitive.

2. Product differentiation strategy.

That is, to strive to make the products and services provided unique compared to similar products or services. Under this strategy, the use of the brand fully reflects a certain uniqueness of the brand, on the basis of which the company determines its own target market and strategic steps. Various forms of expression, such as unique brand image, unique product features, unique services, etc.

3. Centralized strategy.

That is to say, enterprises determine the scope of competition in an industry through the differentiation of the industrial market, emphasize the unique competitive advantages of an industry, pay attention to a specific market, or pay attention to a specific consumer group, that is, the advantages of enterprises in a specific industry to a specific market.

Enterprises concentrate various resources to accelerate the development of product production and sales scale, so that the brand can have influence in a short period of time. As the concentration strategy makes the enterprise too specialized, the ability to resist risks is weakened.

Enterprise advantage 1Resource advantages.

Assets owned and used to provide a basis for competitiveness, both internal and external.

2.Skill advantage.

Monetization is technical capabilities and support capabilities. Technical competence is a group of skills that have technical characteristics and are attached to technical talents. Supporting capacity refers to the ability to cultivate, establish, accumulate, allocate and protect.

3.Management Advantage.

In order to better adapt to the market, the standardized management of enterprises is also the management of basic competitiveness.

4.Talent advantage.

Talent competition is directly related to the core competitiveness of enterprises, especially in the 21st century, talent is the most important, enterprises must pay attention to talents, cultivate talents, and retain talents.

5.Brand advantage.

In modern society, brand influence means the degree of accumulation of wealth, and a brand with extensive influence and good reputation plays a vital role in the development of an enterprise.

Extended Materials. The competitive strategy of enterprises includes cost leadership strategy, differentiation strategy and concentration strategy.

The cost leadership strategy and differentiation strategy are self-positioning; Centralization strategy for market segmentation.

Among the three basic strategies, the cost leadership strategy and the differentiation strategy are the basis of the basic competitive strategy, and they are a pair of "dual" strategies.

A concentration strategy is the application of a cost leadership strategy and a differentiation strategy to a specific market segment.

1. The cost leadership strategy refers to the strategy of enterprises to become a cost leader in the industry by strengthening cost control internally and reducing costs to a minimum in the fields of R&D, production, sales, service and advertising.

2. Differentiation strategy refers to the unique characteristics of the products and services provided by the enterprise to customers within the scope of the industry, which can bring additional price increases to the products; If the spillover** of a company's product or service exceeds the added cost due to its uniqueness, then the business with that differentiation will gain a competitive advantage.

3. The strategy of centralizing jujube refers to the strategy of adopting cost leadership or product differentiation to obtain competitive advantages for a specific buying group, product segment or regional market.

Competitive Advantage: The ability or characteristic of an organization or business to succeed in the market relative to its competitors. It is a key factor for businesses to stand out in a highly competitive market and achieve long-term profitability.

What is Competitive Advantage? What is the name of competitive advantage explained?

Competitive advantage can be achieved in a variety of ways, here are some common types of competitive advantage:

1.Cost Leadership:By reducing production costs, improving efficiency and optimizing the first chain, enterprises can improve the supply of products or services at a lower cost.

This allows businesses to sell competitively in the market and achieve higher profit margins.

2.Differentiators:Companies offer a unique and attractive value proposition by differentiating themselves from their competitors in terms of product design, quality, innovation, brand image, customer service, etc.

Differentiation enables businesses to establish a unique position in the market and attract customers to their products or services.

3.Expertise and technical advantages:Businesses have unique expertise, technology, or patents that enable them to offer highly specialized products or services.

This kind of rapid rush advantage usually requires enterprises to have the competitiveness of technological innovation, R&D capabilities and professional talents.

4.Market channel advantages:Businesses have an extensive and efficient network of market channels that are able to better communicate the message of their products or services, connect with customers, and provide better sales and distribution capabilities.

5.Brand advantage. Businesses have strong and recognized brands, and customers have a high degree of recognition and loyalty to their products or services.

Brand advantage can enable businesses to build trust and recognition in the market, increasing market share and sales.

The importance of competitive advantage to a business lies in the fact that it can bring a sustainable competitive advantage to the enterprise, increase market share, improve profit margins, and maintain a stable competitive position in different economic environments and market conditions. Enterprises should constantly focus on and develop their competitive advantages to adapt to market changes and meet customer needs to achieve long-term business success.

The so-called advantage refers to its own unique own, can be conducive to growth and development or competitive factors, however, the enterprise advantage is the existence of the enterprise, is conducive to promoting the development of production and operation or improve the productivity of the enterprise or the competitive factors or resources, such as strong scientific research force, sufficient talent reserves, leadership vision and vitality, advanced corporate culture, advanced production equipment, strong marketing ability, high overall quality of the workforce, with a large number of high-quality talents, scientific and reasonable management mechanism, high management efficiency, rather than such as good national policies, good industry environment, etc. Strength is resource. Only with resources can there be development.

Competitive advantage can refer to any superior thing that distinguishes a company or its products from its competitors in the eyes of consumers, it can be the width of the product line, the size of the product, the quality, the reliability, the applicability, the style and image, the timeliness of the service, the enthusiasm of the attitude, etc. Although competitive advantage actually refers to the fact that an enterprise has a strong comprehensive advantage over its competitors, it is more meaningful to clarify which aspect of the enterprise has an advantage, because only in this way can we make use of our strengths and avoid weaknesses, or use our strength to fight against weakness.

The disadvantage of an enterprise is a factor formed by the enterprise itself in the process of production and operation and has a restrictive effect on the production and operation activities of the enterprise. For example, the lack of foresight of enterprise leaders, outdated employees, backward production equipment, imperfect management system, insufficient technological innovation, extensive cost management, low staff quality, lagging corporate culture, lack of fist products, insufficient research and development strength, talent fault, lack of high-quality talents, etc., rather than unfavorable national policies, industry recession, excessive competition, national export restrictions, high tax revenue, etc. It's okay to compare the list one by one.