COURSE DETAILSCOURSE/ CODE/ GROUP : STRATEGIC MANAGEMENT/ PMS 3393/ GROUP 2ACADEMIC SESSION : 1/14/34SEMESTER : JANUARY 2014LECTURE'S NAME : MOHD SALEH BIN ABBASINDIVIDUAL ASSIGNMENT DETAILASSIGNMENT TASK : REVIEWDUE DATE : 11 MARCH 2014STUDENT DETAIL
SURAYA BINTI SULONG
BACHELOR OF MARKETING
SUBMISSION DATE (RECIVED)
Discuss critically on how can a firm create sustainable competitive advantage through managementIntroductionSustainable competitive advantage is the unique position that an organization develops in relation to competitors that allows it to outperform them consistently" (Hofer and Schendel,1978). A sustainable competitive advantage is when a firm possesses value-creating processes and positions that only cannot be easily duplicated or imitated by other firms that lead to the production of above normal rents. Sustainable competitive advantage is different from a competitive advantage because it provides a long-term advantage that is not easily replicated.Therefore, a sustainable competitive advantage is one that can and must be maintained for a significant amount of time even in the presence of competition (www. wikipedia.org). Sustainable competitive advantage will allow the maintenance and improvement of the company's competitive position in the market. It enables business to survive against its competition over a long period of time. Sustainable competitive advantage can be built up over a period of time based upon some unique competencies. They can be based upon knowledge, know-how, experience, innovation, and unique information use ( Lowson , 2002) .According to Coyne (1986), competitive advantage will be meaningful only if it is felt in the marketplace and the differentiation must be perceived an important buying criterion to a substantial customer base. Therefore, such advantage will be sustainable, only if it cannot be imitated (Barney, 1991)Sustainable competitive advantageA sustainable competitive advantage occurs when an organization acquires or develops an attribute or combination of attributes that allows it to outperform its competitors. These attributes can include access to natural resources or access to highly trained and skilled personnel human resources. It is an advantage (over the competition), and must have some life; the competition must not be able to do it right away, or it is not sustainable. It is an advantage that is not easily copied and, thus, can be maintained over a long period of time.Competitive advantage is a key determinant of superior performance, and ensures survival and prominent placing in the market. Superior performance is the ultimate, desired goal of a firm; competitive advantage becomes the foundation. It gives firms the ability to stay ahead of present or potential competition and ensure market leadership.Developing Sustainable Competitive AdvantagesCustomer Loyalty: Customers must be committed to...