Core and Distinctive Competencies: Competitive Advantage
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Core and Distinctive Competencies
- Resources: An organization’s assets, and thus the basic building blocks of the organization. They can be tangible or intangible.
- Capabilities: Refer to a corporation’s ability to exploit its resources. They consist of business processes and routines that manage the interaction among resources to turn inputs into outputs.
- Core Competency: A collection of competencies that cross divisional boundaries, is widespread throughout the corporation, and is something the corporation does exceedingly well.
- Distinctive Competency: Core competencies that are superior to those of the competition.
Using Resources to Gain Competitive Advantage
- Identify and classify resources in terms of strengths and weaknesses.
- Combine the firm’s