comment2 for second(2) chapter... =)

Assalamualaikum...

HAI THERE!!! for this meet i would like to share my knowledge about chapter 2 ...which is Identifying Competitive Advantages..

To survive in business industry... an organization must create a competitive advantage...

In book language COMPETITIVE Advantage means that a product or service that an organization's customers place a greater value on than similar offerings from a competitor.

what i understand from this sentence is company must have specialty that cannot be copy by other competitor..

thinking about the same thing..

such as when we talk about ASIA company.. all of us must think about the same thing which is "cheaper ticket flight price"....

Other competitor can have the same offer but the customer's mind set is very difficult to change...

"other competitor " is the FIRST- MOVER Advantage... but this competitor is just temporary.

are you still with me....!!!  right???

confuse??? not right...

 i'am good in explaination right???

~(puji diri nampaknyer..hehehe =p...)~

 

okey.. for your infomation an organization can watch their competition through environmental scanning... ENVIRONMENTAL Scanning is the acquisition and analysis of events and trends in the environment external to an organization.

 

~melayu nye~

"Pengimbasan persekitaran adalah pengambilan dan analisis peristiwa dan trend di dalam persekitaran luar organisasi."

Do you understand???  okey in simple word, if you want to watch your competition.. you have to used environmental scanning method which is you have to take and analysis event and trends of your surrounding environment especially in external surrounding.

Three common tools to analyze and develop competitive advantages are :

  

•    porter 's five forces model,
•    porter's three generic strategies
•    and value chains.

First one is porter's five forces model....it determines the relative attractiveness of an industry.

1.  For BUYER Power is high if the customer have many choices to make...

but to reduce the BUyer Power you can SWITCHING Costs and made LOYALTY Program...

2.  SUPPLIER Power is assessed by the suppliers' ability to directly impact the price they are charging for supplies which including material, labor and service.

                               we can see the flow using supply chain...

 This is because it consists all parties that involved in procurement of a product or raw material...

3.  THREAT of SUBSTITUTE Products or Service is high when there are many alternative to a product or service.

Example like coffee and tea, sugar and honey and so on..

4.  THREAT od NEW Entrants is high when it is easy for a new competitors to enter a market..

     

Entry barriers is some difficult to compete and survive in business..

 5.  RIVALRY Among Existing Competitors is high when competition is fierce (sengit) in a market...

Product differentiation is something unique in product with intent to influence demand of customer..

   
   

     ~dok pahe???~                        ATAU                        ~ doh pahe~

            
                                                                 

 Secondly is porter's three genetic strategies.... be using typically when organization want to enter a new market..

There are 2 BROAD market which are broad cost leadership and broad differentiation..

 Example like Hyundal (leadership) and Audi(differentiation)..

 For NARROW Market is Focused Strategy..

 Example Hummer and Kia(focused strategy)..

Last but not least is...

VALUE Chain which is used to determine the success or failure of its chosen strategy...

okey finish... do you understand !!!

what i'm try to share with you right  now???

 

Hopefully that all of my reader can understand what in this entry...

thank you... you all !!!.. love you more!!!!