Man Ec: #19 Flashcards
1
Q
when does a firm have a competitive advantage?
A
whenever it has an edge over rivals in coping with competitive forces and in attracting buyers
2
Q
what are the two criteria for judging whether a firm has a well-formulated competitive strategy?
A
1) having a competitive advantage and attractive long-term market position
2) enables the firm to earn superior profits
3
Q
What are the three generic competitive strategies?
A
- low cost
- focus
- differentiation
