COMM 4351 Chapter 3: Chapter 3.docx

• School: Dalhousie University
• Department: Commerce
• Course: COMM 4351
• Professor: Jiang

Document Summary

Distinctive competencies: distinctive competencies firm-specific strengths that differentiate or achieve lower costs than rivals, e. g. The value chain: company is a chain of activities that transforms inputs into outputs. Support activities: allow primary activities to take place, materials management/logistics transmission of product through chain, lower cost to increase profit, hr having skilled people, trained, motivated, compensated staff (productivity ) Info-systems inventory, sales, pricing, logistics - improves efficiency and allows value- creation processes to exist: company infrastructure organizational structure, control systems, culture, top management (strong leadership) Building blocks of competitive advantage: products of distinctive competencies, company can differentiate product offering, lower cost structure, these are generic distinctive competencies (anyone can pursue) Efficiency: quantity of inputs that it takes to produce output (goal to lower cost, employee productivity output produced per employee, e. g. 25 labour hours to produce a car, vs. 30 hrs.