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posted on 11-7-2018 at 01:03 AM
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There are three areas where a firm’s distinctive capabilities may yield a competitive advantage. These are:
If a firm is innovative it may obtain an advantage over competitors. However Leicester City Youth Jersey , this
advantage only lasts for the length of time it takes for imitation to be effective. Innovation is particularly open to imitation. Even patents lapse
or are vulnerable to new technology. Innovation advantages can only be maintained if the firm has other capabilities which make imitation of the
technology on its own insufficient to erode the established firm’s competitive advantage.
Architecture refers to the firm’s internal organization. For example, the famous bootroom ensured long periods of success for Liverpool Football
Club in the 1960s to the 1980s. However, if the market changes the types of advantage can be eliminated by rivals.
If a firm has a reputation for providing good quality and service, it will help add value and generate more sales. Reputation can be sustainable over
long periods Juventus Youth Jersey , making
it difficult for entrants to compete on equal terms with a reputable incumbent. Overall, the managerial approach argues that the strategic decisions
made by firms affect their performance. Firms only obtain an advantage over competitors if they can protect their strategies against imitation. The
ease with which firms can imitate one another is affected by institutional and economic factors. For example, institutional factors which may prevent
imitation include the imposition of restrictive employment contracts which prevent individuals from using any firm-specific knowledge if they were to
move to a rival firm.
The ‘corporate culture’ of an organization can yield advantages over competitors. For example, an organization which gives long-term contracts to
employees may be able to obtain a greater degree of commitment from its workforce Inter Milan Youth Jersey , which enables it
to work more effectively. Corporate culture is particularly difficult for other firms to imitate. Economic factors affecting the speed at which
imitation takes place include the expected profits and the associated risks of pursuing a given strategy. Imitation is more likely to take place at a
faster rate if the expected profits from imitating such a strategy are large. However, if there are high risks associated with adopting such a
strategy, imitation takes place at a slower rate.
Although the managerial approach provides important insights into how firms can obtain and sustain competitive advantages over rivals, these insights
have been neglected in much of the industrial organization literature Borussia Dortmund Youth Jersey ,
especially in empirical studies. This is partly due to difficulties in measuring many of the variables used in the managerial literature to explain
competitive advantages. However, a more fundamental disadvantage of the managerial approach is that it does not place enough emphasis on interactions
between firms. In the managerial literature, the focus is mainly on the strategic options available to the individual firm.
YANGON, Aug. 25 (Xinhua) -- At least five police were killed in renewed terrorist attacks at police posts and one military base in Maungtaw Bayern Munich Youth Jersey , Myanmar's
Rakhine state Friday morning, according to a release from the State Counsellor's office.
A total of 24 police posts in Maungtaw region were attacked with handmade bombs by extremist terrorists at 01:00 a.m. local time.
Also, about 150 extremists attempted to break into a military base at 03:00 a.m. local time.
So far, seven bodies of the terrorists have been seized and the security forces are in hot pursuit of the attackers Barcelona Youth Jersey , according to the
The incident coincided with the release of the final report on Rakhine state of the Myanmar-appointed advisory commission chaired by former UN
Secretary-General Kofi Annan.?
Video: protecting Hoh Xil, a wildlife paradise in NW China
Death toll in Brazil's fresh shipwreck rises to 22: navy
122 Chinese telecom fraud suspects repatriated from Cambodia
Thailand's Supreme Court braces for Yingluck's judgement day
At least 2 died, 8 injured in knife attack in Turku, Finland
13 killed Chelsea Youth Jersey , over 100
others injured in Barcelona attack: official
Over 400 killed in mudslides in Sierra Leone
Qiandaohu Lake in China's Zhejiang under stricter protection
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