Question

Question 2
Which one of the distinctive competence capabilities is the important for an organization to focus on? Give reasons to support your answer
Not less than 300 words

Answer 1

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One of the distinct competencies the organization can have is its core competencies eg BMW car manufacturing brand is driven by its unique competency of unique technology and the active driving design which has given unique care with the -performance feature so it focuses on creating ultimate driving experience being its core competency  So many companies can make a car with similar experience and designs but the ultimate driving experience given by BMW is unmatched hence it stands distinct in the marketplace.

Google has also its distinct capability in name recognition and the ultimate features it provides in its search engine. it is also one of the notable search engines so it is very difficult for the competitor to imitate making it stand apart with the rest of the search engine market and most companies can't compete for google in the search engine segment.

Example :

An organization which I believe possesses an operation based distinct distinctive competence is Walmart. Walmart in its operation has the unique feature of purchasing the goods from the suppliers at the lowest possible price and in large quantities. This gives the company a unique competitive advantage which the competitors cannot replicate. Buying the products from the suppliers in large quantities give the company the benefit of buying the product in Big volumes and forces the supplier to sell its product to Walmart at the minimum margin.

The Walmart supply chain management strategy has provided the company with several sustainable competitive advantage in terms of lower product cost because of its huge quantity purchasing capacity, its ability to reduce the inventory carrying cost, providing the customers in the store with lots of variety and different selection options for choices of their products and an highly competitive and best price for the customers, as their tagline always says lowest price always. The company's unique operational efficiency of 24 hours working gives it an edge over the competitors offering.
There are Many organizations which have operational Incompetence. The inability of the company to purchase products at low prices as compared to Walmart makes it incompetent. When the competitive companies of Walmart are forced to purchase product at high prices they are bound to sell them at high selling prices which in turns make the products more expensive as compared to Walmart offerings and makes the company incompetent.

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