Understanding Business
12th Edition
ISBN: 9781259929434
Author: William Nickels
Publisher: McGraw-Hill Education
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As a conclusion, in relation to Cost Leadership Strategy.
We can state that a company that achieves cost leadership will achieve long-term sustainability in the competitive environment. Since low costs allow them to achieve greater market share, the generation of higher profits and finally they can accumulate a greater amount of financial capital that allows them to continue growing.
Could you explain the same, but in a simpler way?
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- The following statement is all partially or totally false. Please rewrite it to become exactly true. Business competitive strategy is formulated at all levels of management and is implemented at the executive level.arrow_forwardAs a conclusion, in relation to Cost Leadership Strategy. I put:By way of conclusion we can state that a company that achieves cost leadership will achieve long-term sustainability in the competitive environment. Since low costs allow them to achieve greater market share, the generation of higher profits and finally they can accumulate a greater amount of financial capital that allows them to continue growing. What do you think?arrow_forwardWhich of the following statements BEST describes the Gartner’s ‘Magic Quadrant’? Helps businesses understand their current and future competitive landscapes. Helps businesses get a clear picture about their strong points and weak points relative to their competitors. Helps businesses prioritize and strategize your business investments among smaller business units. Helps businesses analyze and represent a particular product/market/industry in terms of their ability to deliver based on their vision.arrow_forward
- What is solvency? How has The Coca-Cola Company's solvency trended from 2017 to the present? Do you think they are more or less solvent now? reference KO - Financial Reports for THE COCA-COLA COMPANY - MSN Moneyarrow_forwardSustainable Competitive Advantage In general, capabilities and resources become strengths with the potential to create a competitive advantage if the following conditions are met: The resources or capabilities are valuable. They allow the firm to exploit external opportunities and/or neutralise external threats. If a firm’s resource or capability allows exploitation of opportunities or neutralisation of threats then it is considered a strength. 2.The resources or capabilities are unique. If only one or a small group of organisations possess a valuable resource or capability, then that resource or capability may be a source of competitive advantage. If numerous organisations possess a particular resource or capability, then the situation is described as competitive parity – no company has the advantage. 3.The organisation must be suited to the exploitation of the resource or capability. This means that the structure and systems of the firm are appropriate for taking advantage of the…arrow_forwardSustainable Competitive Advantage In general, capabilities and resources become strengths with the potential to create a competitive advantage if the following conditions are met: The resources or capabilities are valuable. They allow the firm to exploit external opportunities and/or neutralise external threats. If a firm’s resource or capability allows exploitation of opportunities or neutralisation of threats then it is considered a strength. 2.The resources or capabilities are unique. If only one or a small group of organisations possess a valuable resource or capability, then that resource or capability may be a source of competitive advantage. If numerous organisations possess a particular resource or capability, then the situation is described as competitive parity – no company has the advantage. 3.The organisation must be suited to the exploitation of the resource or capability. This means that the structure and systems of the firm are appropriate for taking advantage of the…arrow_forward
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