Competitive Advantage

11.02: Competitive Advantage

 1 = The market share of the target firm appears to be diminishing. The firm appears to be behind the eight ball, getting caught off guard by competition. For the corporate-level strategy consideration, the corporation has not yet established synergies between the companies within its portfolio and there is no evidence that this will happen soon. The company is in a weak position to deal with competitive threats.

 2 = The firm is struggling to maintain market share and its primary focus is fighting off competitors.

 3 = I have not determined the state of their competitive position

 4 = Market share is expanding but new lines of products and/or services appear to be limited. Good rapport with customers but brand or firm loyalty is weak or nonexistent. Customers could easily switch for lower price or other value considerations.

 5 = The target firm appears to have a solid rapport with its primary customer base. Strong customer loyalty is obvious. Its products and services are widely recognized. Its name is widely recognized. Its market share is expanding. The firms line of products and/or services are expanding and they appear innovative. For corporate-level strategies, synergies have been created between companies within the portfolio and the corporation is in a strong position to deal with competitive threats and to capitalize upon new opportunities.

 Why? Explain your rationale in your written report.