Company Y excels in customer service and product innovation. How can it use these capabilities to build a sustainable competitive advantage?

Question

BlackTom AI · Accepted Answer

To assess how Company Y can leverage its strengths, start by considering what each option implies in strategic terms.
Option 1: 'By focusing on a differentiation strategy' aligns with the given strengths—customer service excellence and product innovation—since differentiation centers on offering unique value that is valued by customers. Superior service and innovative products create perceived uniqueness, enabling premium pricing and customer loyalty. If executed well, this path makes competition less about price and more about distinctive offerings.
Option 2: 'By focusing on a cost leadership strategy' emphasizes driving down costs to achieve a competitive edge. However, high service quality and ongoing product innovation often involve higher costs (training, R&D, service delivery). While efficiency could be pursued, these capabilities don’t directly map to lowering costs as the primary path to advantage, making cost leadership less congruent with the stated strengths.
Option 3: 'By acquiring new capabilities' suggests expanding into new competencies. While acquiring capabilities can support strategy, the question asks how the existing strengths can be leveraged to gain advantage. Merely acquiring more capabilities doesn’t specify how differentiation through service and innovation would be realized; without tying the acquisitions to those strengths, the link is weaker.
Option 4: 'By acquiring new resources' similarly focuses on resource endowments rather than the competitive stance they enable. Owning new resources can be helpful, but again, the prompt emphasizes leveraging current capabilities (service and innovation) to stand apart, which is more directly achieved through differentiating offerings rather than simply adding resources.
In summary, the reasoning above shows that the strengths—excellent customer service and product innovation—are most coherently translated into a differentiation strategy because they create unique value that competitors do not easily replicate. The other options either misalign with those core capabilities or fail to specify how those capabilities translate into sustained competitive advantage.

Company Y excels in customer service and product innovation. How can it use these capabilities to build a sustainable competitive advantage?

查看解析

登录即可查看完整答案

类似问题

According to Michael Porter, where does the quest for competitive advantage start?

Question at position 6 What may have given Prosser an advantage over Orion? Orion’s failure to meet relevant environmental requirements.Prosser’s promotion of its sustainable credentials.Orion’s inability to co-develop custom components.Customers looking for stricter environmental regulations.

Question at position 2 Those implementations which involve relatively little process or resource ‘distance’ provide what kind of advantage?competitive advantagetechnology implementationorganizational learningresource utilizationClear my selection

Competitive advantage is what makes a company’s products or services more desirable to customers than that of rivals

Strategic offensives should be based on

Question at position 6 What may have given Prosser an advantage over Orion? Orion’s inability to co-develop custom components.Prosser’s promotion of its sustainable credentials.Customers looking for stricter environmental regulations.Orion’s failure to meet relevant environmental requirements.

Nordstrom, an upscale department store, has a well-known reputation for going the extra mile to serve its customers. This reputation for excellent customer service will most likely result in

A sustainable competitive advantage is gained when a company

更多留学生实用工具

考试浏览器助手

风格化写作助手

论文查重助手

文献引用助手

课堂转译助手

课堂笔记助手

Quiz搜索助手

学校历年真题

智能刷题助手

智能匹配练习

希望你的学习变得更简单