Sunday 24 October 2010

sustainable competative advantage

Sustainable competitive advantage (SCA):
Ø  Sustainable competitive advantage can be defined as “an advantage that enables business to survive against competition in the market over a long period of time.” In other words we can say that it is the advantage which is difficult or impossible for other companies to break through. It can be its product, cost management or cost structure, customer care, service, or its patent. Whatever will be the advantage but the main thing is that it should be distinctive. If we consider McDonalds is a global Brand which opens approximately 500 restaurants every year. In the previous year of McDonalds they were only concentrating mostly on expansion of their outlets and franchising all over the globe than strengthening this core advantage.
Ø  Success of McDonalds has gone through many tough times, risks and competitions. But still it has been a strong and a top ranked business concerns, because it has always concentrated on its core competencies and SCA.

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