Musings of an Internet Marketing Consultant
Musings of an Internet Marketing Consultant

Tuesday, November 23, 2004

Sustainable Competitive Advantage

When reviewing business business plans investors want to know "What is your sustainable competitive advantage"? For technology companies this is always associated with some unique technology -- but, hold it -- hasn't the development of more efficient devleopment tools made it easy to "reproduce" software?

The real answer requires a look at the entire business proprosition -- management team, potential partnerships, networking contacts, market strengths, etc. Alec Saunders has put "sustainable competitive advantage" into its proper perspective when looking at why Firefox will not displace MS Internet Explorer in the overall market. He outlines five factors to consider:

- Cross-functional excellence
- Sustainable business models
- Stakeholder focus
- Corporate culture
- People

In the end its the how you manage and present the mosaic of people, teamwork, customer focus, commitment to a mission, service delivery as well as the technology that build a sustianable competitive advantage.

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