Sample Essay Even in those days other car manufacturing companies were taking measures for their…
How Companies Create Value?
How Companies Create Value?
Companies create value and competitive edge with its employees, and there are many ways that companies can meet their required objectives. A company also gains competitive edge by focusing on its target audience which can be made prominent by socioeconomic demographic factors and other ordinary features that makes them the best target audience. This is best done by finding out who your competitors are and what differentiates them from other companies in the industry. Important facts as their location, their marketing strategies, their resources, the quality and quantity of their employees, their credit policies and any other fact that will help in competing against them.
Instead of being scared of the competition, companies can use them as learning tools for assessing their own standing and value in the market. It always pays to be aware of the competition’s strengths and weaknesses because you can reproduce their strengths in your organization and exploit their weaknesses to gain competitive advantage Equally important for gaining a competitive edge is an intimate knowledge of your and their customers. Such knowledge is invaluable for maximizing your company’s revenue potential and increases your customer base and retaining your competitive edge in the market. It is always advisable to use a mix of several tools and methods for measuring consumer familiarity with your product which enables your company to assess their position in the market.
Besides using conventional information sources, using “social media analysis” tools gives consumer insight on a much larger scale Companies must also take advantage of regulations, barriers, and tariffs that favor them to gain competitive advantage and dissuade competitors from challenging their marketing share. Gaining the competitive edge does not mean that you rest on your laurels because to succeed in business companies have to work hard to continuously maintain the gained competitive advantage because your competitors are not going to allow you to take over their market share without a fight.
The company can still be competitive in the industry by being constantly alert to any changes in the market and monitoring the competition and being aware of customer requirements. This might involve some risk-taking to keep ahead of the competition, but the rewards can be probably greater than the risks involved and risks are minimized if you have done your homework about the competition before embarking on any adventurism. To obtain and retain your competitive advantage, businesses are in the best position to work in partnership with their customers.