We began our discussion about strategy by defining it as - the firms path to "compete successfully". In the earlier blog, we also mentioned about two terms - competitive advantage and competitive parity. These two terms are the means by which we can compare the various strategies. In todays blog we shall look at this comparison.
One of the many ways in which we can compare the various startegies is by to evaluate the impact the firm's theory of how to compete has on its competitive position in an industry or market. In general, the implementation of the theory will have one of the three implication on the competitive position of the firm.
- Competing Very Successfully
- Competing Successfully
- Competing Unsuccessfully
If the firms implementation of its competitive theory leads to a Competitive Adavantage, then the firm is more successful than the firms whose strategy could onlyy lead to a Competitive Parity. The firms whose theories when implemented lead to Competitive Parity, are at an advantage when compared to the firms whose theories when implemented lead to competitive disadvantage.
Read in Kannada: