Competitive advantage refers to the ability to outperform all your competition in a certain industry or area. Differently put, it represents what makes you better than your competition in the eyes of your customers. It can be applied to companies, countries, employees, etc. Today we are going to look over some competitive advantage examples and see how we can use them to our benefit.
Competitive Advantage Examples
1. The People
Though it may sound too general, the people can be one of the biggest advantages in a company or any kind of organization. The more knowledge and abilities the employees have, the more you gain when it comes to a competitive advantage. Hire people who can innovate in the field and who are loyal to the company. Your products may come and go, but the team stays there.
2. The Culture
There may be several companies on the market who have great employees. However, do you know what makes the difference between them? Having a great company culture. All the highly talented people are wasting their efforts if they don’t know how to work together and accomplish the tasks effectively. Moreover, if there are negative office politics or a sustained resistance to change, that is a recipe for disaster.
3. The Processes
Superior processes are among the best competitive advantage examples you can have. Faster production speeds or higher quality materials can make the difference between you and your competitors. Moreover, they will find it hard to emulate, especially if you don’t give away information about your machines, products, etc.
This is one of the competitive advantage examples that need to be continuously sustained. You can’t rely on the same old information you studied ten years ago. As technology is changing so fast, so are the industries that make use of it. The Internet is a great resource, and the more you know, the more you can gain ahead of your competitors.
Finally, this is one of the advantages that make or break your success. Ideally, you should own some unique capital that no one else can have access to. For example, if you own a railway that manages to cut across lots of kilometers, you can’t have a rival in that. In certain cases, you can even think of it as a monopoly. Thinking more locally, imagine having a convenient location for a hotel or for the company headquarters.
In business, it’s important to be consistent. There’s no use in bringing a new technology or improving a process only for a couple of months. If you want to obtain a competitive advantage, you need to sustain that change. Make sure you have the resources that are necessary for it.
The competitive advantage examples presented above can help you gain a new perspective on the market. It’s not hard to implement some changes, such as updating your knowledge or investing in new equipment. However, it’s harder to create an organizational culture or to make your employees form a more cohesive team.
Image source: 1