Reference no: EM132226892

Discuss this in few paragraph?

Competitive advantages are conditions that allow a company or country to produce a good or service of equal value at a lower price or in a more desirable fashion this puts them at a competitive advantage. In most cases, most companies get a competitive advantage by selling a more desirable version product or at a cheaper rate. Those few traits signify the company’s advantage and allow the productive entity to generate more sales or superior margins compared to its market rivals. Competitive advantages are based on a variety of other factors as well including cost structure, branding, the quality of product offerings, the distribution network, intellectual property, and customer service.

Resourced based competitiveness is more of and managerial approach and goes more in depth. The Resource-based competitiveness analyzes and interprets everything that is potentially putting the business on top and what allows them to achieve sustainable competitive advantages over and over.

In the article, it mentions the second important conclusion of strategic factor market theory is that strategic factor markets are not always perfectly competitive and that most factor market imperfections fall into two large categories: asymmetric expectations about the future value of a resource and luck. Which means that a firm that has more accurate expectations about the true value of a resource in conceiving and implementing a product market strategy can use these expectations to acquire resources in a factor market at a price that generates positive economic profits, once that resource is used to actually implement a product market strategy.

Most fortune 500 firms use their competitive advantage to drive globalization and make everyone adapt to their normal. When a popular company creates something. Often times we see that same product replicated in many different ways by many different people.