Question: What are your thoughts on this? Do you agree or disagree? A sustainable competitive advantage is what many organizations strive for since it refers to

What are your thoughts on this? Do you agree or disagree?
A sustainable competitive advantage is what many organizations strive for since it refers to any factor or characteristics that provide them an advantage over their rivals. Sustainability is the ability to endure in the business world for a long time. When sustainability and competitive advantage are combined, a company may stay successful in the market for a longer amount of time. Being profitable is driven by the desire to outperform competitors, dominate the market, and provide customers with high-value products at competitive prices; for these reasons, strategy formulation must take sustainability into account. Let's use Wal-Mart as an example. With its low costs and ability to provide customers with low-cost goods and services, the company has maintained its position at the top of the industry for many years. Similar to Apple and Starbucks, a company can also establish a sustained competitive advantage through distinctiveness if it has strong financial backing and balance. Patents, trademarks, long-term contracts, and domain names are a few examples of strategic assets that provide a stable competitive advantage. Businesses with strong R&D departments may also own important strategic assets. Since a company's sustainable competitive advantage comes from operating for a long time with plans that emphasize long-term success, sustainability can be known for up to five years. When the iPhone 4 was introduced to the market five years later, Apple had already established a strong competitive advantage. Businesses can only maintain a sustainable competitive edge if they concentrate on long-term gains. While a competitive advantage can arise quickly, it cannot be sustained without careful consideration of the long term.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related General Management Questions!