Purchase Solution

In international business, nations must also take into account strategies for surviving in a competitive global business environment

Not what you're looking for?

Ask Custom Question

In international business, nations must also take into account strategies for surviving in a competitive global business environment.

1. What is competitive advantage and why does it matter?

2. Discuss Michael Porter's Five Forces Model, detailing how each aspect of the model can be a source for establishing competitive advantage.

Please include references and citations.

Purchase this Solution

Solution Summary

The expert examines the account strategies surviving competitive global businesses.

Solution Preview

1. Competitive advantage is a tool of strategic management, and is, in basic terms, what sets an organization apart from others. In other terms, its competitive edge. It comes from an organization's core competencies and capabilities, which help an organization do something other competitors cannot do. For example, Apple's competitive advantage is its brand recognition. Very few, if any, competitors can compete directly with Apple's brand, which allows it to charge premium prices for their products (Pfeffer, 1996). Competitive advantages are a 'trump card' that help organizations remain sustainable and gives them longevity. Without a competitive advantage, organizations are unable to compete and are more likely to fail.

2. Michael Poter's Five Forces Model was developed in order to conceptualize competitors and the marketplace (Roy, 2011). They are:

- Threat of new competition: This helps an organization identify who can enter the market to ...

Purchase this Solution


Free BrainMass Quizzes
Learning Lean

This quiz will help you understand the basic concepts of Lean.

Organizational Leadership Quiz

This quiz prepares a person to do well when it comes to studying organizational leadership in their studies.

Managing the Older Worker

This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce

Introduction to Finance

This quiz test introductory finance topics.

Production and cost theory

Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.