MGMT10002 Lecture Notes - Lecture 4: Ideal World, Cost Leadership, Imitation

• School: University of Melbourne
• Department: Management
• Course: MGMT10002
• Professor: Vanessa Pouthier

Document Summary

Can make the difference between success and failure. Competitive advantage what sets organisation apart from others and provides it with distinctive edge in the market. Planning and decision making that leads to establishment of organisation"s goals and specific strategy plan. Use of managerial and organisational tools to direct resources towards achieving strategic outcomes. Especially potential entrants and threat of substitutes as boundaries are beginning to blur. Ability to retain talent (employees) is as important has having those resources. All assets, capabilities, organisational processes, firm attributes, information, etc. controlled by a firm that enable it to conceive and implement value-creating strategies. Determines how much those resources are contributing to firm"s competitive advantage. Valuable can be used across different markets. Bundles of resources and capabilities that generate sustainable competitive advantage for organisation. Help stake a position in the market and outperform competitors. Porter says to typically focus on just one. Straddling strategies can be risky but also can have pay-offs.