Achieving a Competitive Advantage in the Marketplace

In: Business and Management

Submitted By teekaye
Words 1030
Pages 5
Mountain Bank: Achieving a Competitive Advantage in the Marketplace
Mountain Bank is involved in several sectors within the banking industry. These are consumer lending, real estate and mortgage banking, corporate banking and retail banking. Retail banking in consumer lending has been the largest area of the bank’s business, yet not the most profitable. Mountain Bank could gain more stable accounts and profits through real estate and mortgage and corporate banking. In order to increase its business into these areas, Mountain Bank must develop and implement strategies that will give the business a competitive advantage within the market. Two strategies that the organization can use are the competitive business and human resource strategies.
Competitive Business Strategy
A competitive strategy “focuses on different ways to provide goods and services to meet customer needs” (Brown & Stewart, 2009, p. 40). Mountain Bank should incorporate the differentiation strategy in order to attract more real estate and corporate clients. The company should strive to set itself apart from other banks through its utilization of optimal customer service by its bank tellers. “Recent studies have found that bank tellers are critical to the success of Mountain Bank. In fact, one study found that customer’s experiences with tellers is the single most important driver of customer satisfaction” (Brown & Stewart, p. 69). Customers will be more inclined to expand their business with Mountain Bank if they feel their needs are being met by a respectful, informative teller, within a timely manner.
Human Resource Strategy It would also be very effective for Mountain Bank to integrate the human resource strategy to gain a stronger presence within the market. Through the use of this strategy, the company will focus on varies ways that employees are managed with the…...

Similar Documents

Corporate Governance in Achieving Competitive Advantage

...“Corporate Governance in achieving Sustainable Competitive Advantage” Abstract Researchers, academics and theorists in the business fields have different opinions when the source of corporate success in concerned. They have different values and ideas depend on their ideological persuasions concerning the success and failure of business organizations regardless their size, country of origin and industry in which they are competing. This research paper is approached to give a review, put together and find out the limitations on the earlier scattered literature on the respective sections which consists of mainly two topics. The first topic is rooted in and originated from traditional economic theory and industrial organization tradition. The second one has originated from a resource and competency based view of business organizations. Both approaches are centered on techno-economic factors of sustainable competitive advantage. Very less importance is given to the role and impact of top manager’s actions and their organizational behavior in the overall profitability and competitiveness of a business firm. The loyalty, commitment and pro-activeness of top level management is seen and tried to be proven as potential source of competitive advantage for business organization by this research paper. It is very commonly and frequently found that, top level management usually tend to be self-serving, avoiding risks and not motivated and loyal to the growth and long run profitability......

Words: 5798 - Pages: 24

Competitive Advantages

...Competitive Advantages in Today’s Global Climate Ovelinda Garcia, Justin Hightower, Shyann Fontenot, Alex Jacobs MGT/498 July 14, 2013 Perry Martin Competitive Advantages In Today’s Global Climate Organizational sustainability and viability occur when a business strives to set itself apart from its competitors. Organizations that seek to become and maintain themselves as industries leaders typically thrive in the global marketplace. Industry dominance is dependent upon the development and implementation of corporate strategies. Organizations that continuously seek to examine their portfolios, improve operational activities, conduct research and development, and implement their strategic planning and strategies are innovated and profitable; both key characteristics in maintaining the competitive advantage within the global marketplace. Leading organizations analyze and predict the changing environment and situations in which they operate in and perform with the objective to maintain competitive advantage and sustainability. Riordan Manufacturing is poised to capitalize on establishing the organization as an industry leader in using polymer materials and providing solutions to its customer base. The global plastics manufacturing giant’s rigorous focus on R&D sets the company advantageously as a leader in identifying trends. Although the company’s initial focus was on...

Words: 1280 - Pages: 6

Competitive Advantage

...Event “Competitive Advantage” 15 September 2013 The term competitive advantage is the ability gained through attributes and resources to perform at a higher level than others in the same industry or market (Chacarbaghi and Lynch 1999, p. 45). There has been quite a bit of study and research interest due to existing issues regarding superior performance levels of businesses in the present competitive market conditions. "A firm is said to have a competitive advantage when it is implementing a value creating strategy, not simultaneously being implemented by any current or potential player" (Barney 1991 cited by Clulow et al.2003, p. 221). Firms that have a competitive edge over their rivals thrive in the marketplace and can exist for a very long time. Public companies in this category can have substantial returns for investors because they are able to capitalize on their competitive advantage. If one or more competitors can copy their ideas or make better products, then the company that had the competitive edge loses that advantage quickly. A prime example is Apple iPhones, in the cell phone manufacturing industry, U.S.-based Apple Inc. was on top of the world last year due to the astounding popularity of its iPhones and other products. Investors couldn't get enough of Apple's stock, pushing it well over $700 per share late last year. Investors were absorbed by the media and Wall Street’s glamorization that they seemed to fail to realize that Apple’s competitive......

Words: 731 - Pages: 3

Business Operations in My Organization: Strategies for Achieving Competitive Advantage

...Business Operations In My Organization: Strategies for Achieving Competitive Advantage Lionel Bryan Small Walden University Business Operations in Your Organization: Strategies for Achieving Competitive Advantage Introduction This Praxis paper focuses on four areas that can improve Royal Dutch Shell Group’s (Shell) ability to be more competitive with other integrated oil majors in the global supply chain. Shell’s goal is to be “the world’s most competitive and innovative energy company” (Shell 2013). First, the macro-processes involved in the supply chain of Shell are introduced. Forecasting techniques were researched to see how these can be applied to demand management in Shell. Third, business process integration was investigated to improve the supply chain in Shell. Finally, operations and production strategy was synthesized to respond to the changing demands in the modern global environment. Discussion The Macro-processes Involved in the Supply Chain of Shell Company Chosen and the Reason. The company I chose for this assignment is Shell. The key reason is I work for Shell. I have access to global supply chain managers who will help with this assignment. I contribute to the planning operations in the global supply chain. My contribution is the production of petroleum liquids for refinery processing. Gas produced is sold directly to customers as fuel. I believe a lot was learned during the review and analysis of Shell’s global supply chain. Shell’s...

Words: 3684 - Pages: 15

Competitive Advantages

...Competitive Advantages Riordan Manufacturing, Inc. is a corporation that focuses on the manufacturing of fans, plastic bottles, and plastic injection molding. Over the years Riordan Manufacturing Inc. has managed to expand its business into several cities and also around the world. A company who has a similar background is IKEA. IKEA has expanded its business to around the world branding itself as a household name. One way IKEA has a better competitive advantage over Riordan Manufacturing Inc. is the cost leadership strategy. IKEA has managed to sustain its operation by creating a product that is unique and which appeals to the masses but yet it is very cost effective to the consumers. Riordan Manufacturing has been able to stay in business due to the differentiation strategy but it could continue to grow globally and ensure its long term success by focuses on how it can reduce costs and pass that savings to the end users. IKEA has also used the cost focus strategy which has propelled its popularity and success globally. Using this method, IKEA has been able to identify a certain need in specific areas of the world and designed its furniture according to the style preference of that area while still keeping costs low and providing the savings to the end user. Riordan Manufacturing, Inc. could use this strategy to expand its products or manufacturing capabilities to specific groups of clientele around the world and beat out the competition cost wise. ......

Words: 303 - Pages: 2

Competitive Advantages

...Competitive Advantages This paper will discuss the competitive advantages of Costco and Riordan Manufacturing. An analysis will be performed to expose which competitive advantages Riordan has in common with Costco. An estimate on which competitive strategies Riordan would use to improve innovation and sustainability of business operations domestically and internationally will be given. An explanation will also be presented to describe how the competitive strategies chosen may affect the sustainability of long-term performance and how the global market would affect the business strategy of Riordan. Like Costco, Riordan manufacturing generates greater sales and margin to optimize their investment. Riordan’s sales and product strategy has been proven effective through their pricing and product selection, which sustains their strategic goals and objectives. To retain their customers, they increase their sales through employee satisfaction. The exceptional customer service is implemented in order to satisfy their financial performance as part of their objective. This puts Riordan in the lead to achieve their goals and secure some of the largest accounts to increase their market. The value and the effectiveness of Riordan manufacturing is truly as effective using the SWOT analysis. They also exemplify ways to generate planned revenues with the delivery of their product, which in turn strengthens their competitive advantage. The structure of their plan is based on financial......

Words: 800 - Pages: 4

Competitive Advantages

... Competitive Advantages Paper Christopher Crehan, Sarah Franzen, Nicole Hadad, Kimberly Scott, and Leeza Steindorf MGT/ 498 April 26, 2014 Cheryl Boehm Competitive Advantages Paper Among large corporations there are many similar competitive advantages and they often share the same thought process on which competitive strategies will best result in long-term organizational performance. With that being said, this paper will discuss Riordan’s competitive advantages in association to some other major corporations, the competitive strategies that may help to increase the innovation and sustainability of their operations, how these strategies will affect the long-term performance of the business, and what global consideration should be taken into account for their business strategy. Coca Cola, Starbucks and Riordian have a number of competitive advantages in common, with the most significant as market leaders, having a strong brand, having a focus on corporate climate, and focusing on a product or product group. Other areas of strengths are being leaders in their field: Coca Cola as a giant in the beverage industry, Starbucks masters the art of producing, brewing, and serving high quality coffee in an upscale environment, and Riordian dominates in the plastics industry by using plastic injection molding for their containers, producing medical equipment parts, and the various fans and parts they produce. Another competitive advantage that these companies possess is......

Words: 902 - Pages: 4

Project Management Achieving Competitive Advantage (Ppt Version)

...Project Management Achieving Competitive Advantage Chapter One • Introduction: – Why Project Management? What is a Project • Two definitions of project: – A project is a unique venture with a beginning and end, conducted by people to meet established goals within parameters of cost, schedule, and quality – Projects are goal-oriented, involve the coordinated undertaking of interrelated activities, are of finite duration, and are all, to a degree, unique • Difference between process and project – Process refers to ongoing, day-to-day activities in which an organization engages while producing goods or services; process uses existing system, properties, and capabilities in a continuous, fairly repetitive manner – Projects take place outside the normal, process-oriented world of the firm What is a Project (con’t) • A project can be considered to be any series of activities or tasks that: – Have a specific objective to be completed within certain specifications – Have defined start and end date – Have funding limits – Consume human and nonhuman resources – Are multifunctional What is a Project (con’t) • Various elements of projects: – Projects are complex, one-time process: a project arises for a specific purpose or to meet a stated goal; they are complex because they typically require the coordinated inputs of numerous members of the organization – Projects are limited by budget, schedule, and resources: project work requires that members work with......

Words: 17331 - Pages: 70

Competitive Advantage

...this course as well as learning objectives I did not meet. Integrate Porter's Five-Forces Model into developing a solid global strategy. Porter’s five forces model of competitive analysis allows business managers to better understand where they are strong and how they can improve weaknesses before changing market positions. The model can also be a useful tool for firms moving to compete internationally because it provides a uniform framework for evaluating the competitive landscape. Porter’s model does have limitations that business managers should regard carefully. The five forces model is intended more for line of business rather than industry or segment application. The model also does not readily account for strategic alliances or the unique capabilities some firm’s resources may bring to the marketplace. Last, the model has been somewhat outdated by the rapid advances in technology and the effect of globalization on market economies. Assess and integrate business functions and processes in an organization. In summary, it is important to consider benchmarking and best practices in order to determine the most cost effective and efficient means to operate in a country. Benchmarking and the adaptation of best practices provide a means of continuous quality improvement which fortifies competitive advantage particularly in foreign markets. If regional traditional partners do not satisfy the firm’s quality standards, even after being encouraged to do so by local......

Words: 4179 - Pages: 17

Competitive Advantage

...In: Business and Management Competitive Advantage Running head: COMPETATIVE ADVANTAGE AND PRO SPORTS Competative Advantage and Pro Sports Cynthia Moreno University of Phoenix MGT 488 Ricky Lovitt Abstract Competitive advantage is defined as the strategic advantage one business entity has over its rival entities within its competitive industry. Competitive advantage occurs when an organization acquires or develops an attribute or combination of attributes that allows it to outperform its competitors. “A firm is said to have a competitive advantage when it is implementing a value creating strategy not simultaneously being implemented by any current or potential player” (Barney 1991 cited by Clulow et al.2003, p. 221). To gain competitive advantage a business strategy of a firm manipulates the various resources over which it has direct control and these resources have the ability to generate competitive advantage (Reed and Fillippi 1990 cited by Rijamampianina 2003, p. 362). There are two of competitive advantages: comparative advantage and differential advantage. We will address differential advantage in this paper and how it applies to the business of professional sports. A differential advantage is created when a firm's products or services differ from its competitors and are seen as better than a competitor's products by customers. Four criteria that determine a firm's competitive capabilities in the marketplace and judging a firm’s resources are as......

Words: 311 - Pages: 2

Competitive Advantage

...Running head: COMPETATIVE ADVANTAGE AND PRO SPORTS Competative Advantage and Pro Sports Cynthia Moreno University of Phoenix MGT 488 Ricky Lovitt Abstract Competitive advantage is defined as the strategic advantage one business entity has over its rival entities within its competitive industry. Competitive advantage occurs when an organization acquires or develops an attribute or combination of attributes that allows it to outperform its competitors. “A firm is said to have a competitive advantage when it is implementing a value creating strategy not simultaneously being implemented by any current or potential player” (Barney 1991 cited by Clulow et al.2003, p. 221). To gain competitive advantage a business strategy of a firm manipulates the various resources over which it has direct control and these resources have the ability to generate competitive advantage (Reed and Fillippi 1990 cited by Rijamampianina 2003, p. 362). There are two of competitive advantages: comparative advantage and differential advantage. We will address differential advantage in this paper and how it applies to the business of professional sports. A differential advantage is created when a firm's products or services differ from its competitors and are seen as better than a competitor's products by customers. Four criteria that determine a firm's competitive capabilities in the marketplace and judging a firm’s resources are as follows: 1. Are they Valuable? (do they enable a firm......

Words: 764 - Pages: 4

It as a Competitive Advantage

... IT as a Competitive Advantage Marcus Liubakka The College of Saint Scholastica Introduction In 2003, Nicholas Carr, published a controversial article titled “IT Doesn’t Matter”. The premise of his article defines IT as a digital data infrastructure, and compares its build-out to previous impactful infrastructure build-outs like electricity and the railroad. Carr claims that IT has become a commodity, and businesses can no longer use their IT as a competitive advantage. This paper will further analyze Carr’s article, and make recommendations as to how businesses can leverage IT as a competitive advantage for the future. Analysis Rationale To fully understand how a business can leverage IT as a competitive advantage, one must fully understand the concept. In short, a business has a competitive advantage if it has the ability to provide an added value to its customers that its competitors cannot. A competitive advantage is also obtained by providing a value to a customer equal to its competitors, but with a lower cost. There are many factors which play into achieving a competitive advantage, however, organizations need to focus on sustainable competitive advantages. “In his book Competitive Advantage, Porter claims the ‘fundamental basis of above-average performance in the long run is sustainable competitive advantage’” (Pearlson & Saunders, 2013, p. 28). A sustainable competitive advantage is predicated on successfully creating barriers to erosion (Piccoli & Ives,......

Words: 1855 - Pages: 8

Competitive Advantage

...Competitive advantage is when a company has, or does anything exceptionally well that consumers value but the competition cannot match or imitate. This is usually demonstrated in terms of a lower cost or a differentiated product or service. Therefore, the challenge for companies is to find a way of achieving a sustainable competitive advantage over the other competing products and firms in the marketplace. Company heads and business executives are tasked with developing strategies in order to maintain a competitive edge. One of the world’s largest online retailers, Amazon.com has successfully dominated the online retail marketplace since its inception in 1994. Amazon.com begun as one of the first companies to sell books online, due to the success of its online bookstore, they diversified into many other product lines and services. Today, they are known as a multinational e-commerce company that offers a wide variety of goods and services ranging from consumer electronics, books, music, movies, home improvement goods, clothing and jewelry. On the non-retail front, Amazon.com also provides web and technology services to companies. Its mission is “To be earth’s most customer-centric company, where customers can find and discover anything they might want to buy online, and endeavors to offer its customers the lowest possible prices (Amazon, 2015). Amazon continues to evolve quietly in ways that enable it to be extremely competitive in four areas: cost leadership, strategic......

Words: 508 - Pages: 3

Competitive Advantage

...Cost advantage/ Competing in distinctive way “If a company cannot be more operationally effective than its rivals, the only way to generate higher level of economic value is to gain a cost advantage or price premium by competing in a distinctive way”. Does this apply to the digital economy? Assess critically. It has been claimed that “value can be created with Internet communication either through finding ways of reducing costs or, on the demand side, by improving the match between buyer preferences and the goods they purchase”. Do you agree? “Internet technologies tend to reduce variable costs and tilt cost structure towards fixed cost, creating significant greater pressure for companies to engage in destructive price competition.” Do you agree? INTRODUCTION o It is argued that “If a company cannot be more operationally effective than its rivals, the only way to generate higher level of economic value is to gain a cost advantage or price premium by competing in a distinctive way”. o I will first give a definition of the digital economy and what is economic value. o This is followed by a briefly discussion on operational effectiveness. o I will then talk about the importance as well as limitation about cost advantage and price premium strategies. o The last part of the essay will look at other strategies and other elements besides cost advantage and price premium a firm can consider gaining competitive advantage. MAIN......

Words: 1498 - Pages: 6

Competitive Advantage

...Competitive Advantage Tajsha Cheeks BUS 201 Principles of Management Instructor Glenda Riley February 27, 2012 Competitive Advantage The world has been chaining more rapidly than ever before, managers and other employees throughout an organization must perform at higher and higher levels. One of the most important lessons for managers and organizations to learn if they were to reach and remain at the top of the competitive environment of business is to achieve and build a competitive advantage. Competitive advantage is the ability of one organization to outperform other organizations because it produces desired goods or services more efficiently and effectively than its competitors. If company’s follow the four building blocks of competitive advantage, there’s no doubt in my mind their company will be superior to others (Jones, 2011). The four building blocks of competitive advantage consist of efficiency, quality, innovation, and responsiveness to customers. In today’s competitive environment, organizations continually search for new ways to use their resources to improve efficiency. Organizations increase their efficiency when they reduce the quantity of resources they use to produce goods or services. For example, many organizations are training their workforces in the new skills and techniques needed to operate heavily computerized assembly plants. Also, cross-training employees gives them the range of skills they need to perform many different tasks, and......

Words: 836 - Pages: 4