Competitive Advantage

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The Competition: Maintaining Advantage Maintaining competitive advantage in today 's ever-changing business environment is not a simple task. For any company to maintain a competitive advantage, the company must develop the advantage such that it is "rare, costly to imitate, no substitutable, and nontransferable" (Snyman, J.H., 2006). Along these lines, Michael Porter has provided five competitive forces that can assist any company in maintaining the advantage. These forces are "the entry of new competitors, the threat of substitutes, the bargaining power of buyers, the bargaining power of suppliers, and the rivalry among existing competitors ' " (Pfeffer, J., 2005). Three methods for maintaining competitive advantage that will…show more content…
Customers may not be satisfied with the service they are receiving from persons outside of there homeland. Furthermore, management techniques may very greatly culturally and situations may not be diffused and resources may be used ineffectively. . Constraints and Regulations Strategic planning is one of the most important and vital aspects of a business. Strategic planning is tedious and complex, and usually has long terms affects on organizations (Morris and Jamieson, 2005). One major constraint of strategic management is that planned projects must have the support of the entire organization or the project is doomed to fail. Strategic plans must be clearly implanted into all roles within the organization so that projects can be afforded the best opportunity for success. Managers and CEO 's must also take rules and regulations into account when planning for the future. Local, state, and federal regulations play a large factor in how businesses operate and failure to comply with these regulations can cause a business to lose their competitive advantage due to fines, poor publicity, poor employee recruitment, law suits, and high benefit costs. There are many constraints and regulations that force organizations to be very careful when managing their employees. Employee management is also a crucial role in the success of an organization. Employees must be used to their fullest abilities but must remain within their skill level or scope of
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