Home » Business Strategy » Directional Policy Matrix
Predicting Relative Competitive Position of an Organization
Source: www.sbaer.uca.edu
Topic: Directional Policy Matrix
Sort Desciption: Shell directional policy matrix (Guiltinan and Paul 1994). The basic idea behind the BCG portfolio model is that SBUs within a diversified firm ...
Content Inside: Predicting Relative Competitive Position of an Organization Donald R. Self Auburn University Montgomery Elizabeth J. Weiner Auburn University Montgomery Kevin W. Dunlop Auburn University Montgomery ABSTRACT This paper discusses several commonly used methods for analyzing competitive strength including SWOT VRIO portfolio models and competitor ranking-key success factors (KSF). A method for predicting relative competitive position of an organization is proposed to determine a numerical relative strength score for a firm. INTRODUCTION To achieve maximum profitability a firm must find a way to achieve meaningful competitive advantage over its competitors. Unequal command of valuable resources forms the basis of competitive advantage for a firm. Competitive advantage is connected to relative competitive strength which is the net value of a firms strengths and weaknesses comparative to benchmarks usually the strengths and weaknesses of key industry rivals. Competitive analysis involves the organization looking both inward to its internal environment as well as outward to its competitors and other forces in the external environment. The analysis will generally include the following elements: identifying potential competitors; ...
