Sustainable Competitive Advantage Examples with Great ROI

(Last Updated On: July 24, 2019)

There are several companies with sustainable competitive advantage examples that turned them great. A strong competitive advantage lasts long. Competitiveness, market, business model, environment, customer preferences and technology as well as competitive advantage exists with time. Business will not work today, what does tomorrow work?

Competitive advantage is another reason that corporations tend to duplicate each other. If you develop a successful product, it will be quickly mimicked. If you develop an effective marketing strategy it will be copied.

Competitive advantages exist when a particular company continuously crosses the other companies in the same industry. If profit is more than the profit of the competition, then others of a company are considered relatively well. Competitive advantages are considered strong when it lasts for long periods. The organizations who are able to maintain competitive advantage for many years are considered to be a durable competitive advantage.

If a sustainable competitive advantage relies on maintaining margin margins more than other companies in the same industry, how can a company develop strategies to achieve and maintain competitive advantage? The two main elements of profit are customers, both products and services are valuable and can pay for them and may have lower production costs related to the products and services of a company, so that there are high profit margins.

Definition: Permanent competitive advantage

Today’s business environment is very competitive. It is now a very easy and inexpensive way to start a business, especially to enable technology to activate businesses online and internationally to win customers in foreign markets.

There are several companies with sustainable competitive advantage examples that turned them great. An example of an online retail sales explosion, and makes it hard to stand out from all the competition and activity crowd.

The challenge is to prevent being another ‘my very’ business. The way to avoid it creates a durable competitive advantage that separates you from competitors.

Permanent sustainable competitive advantage example is the key to business success. It is a force that enables a business to focus more focus, more sales, better profit margins and higher customer and staff than competitors.

This is the main driver of the long-term business worth and the buyers will make the most value while acquiring a business. Without a durable competitive advantage, you muddles with another ‘my very’ business risky that achieves less than satisfying results.

Permanent competitive advantage is a lasting power to overcome all competition in a particular area or industry.

As irrelevant as the durable competitive advantage, easy to think, for example.

1. People

The source of your people’s knowledge and ability is the most competitive advantage.

If you hire the modern day Thomas Edison, which forces innovation after the launch of the land, (as long as you hold the employee) it is a sustainable competitive advantage.

This scale of large and small organizations. Your folks are usually your greatest competitive asset. Come and go products – a group that can design products that durable your products over and over again.

2. Culture

All about your innovation and ability to change in permanent competitive facilities

You can have an extremely talented team. However, if they do not work together on a general mission, it is unlikely to translate into sustainable competitive advantage.

Negative office politics and change resistance will quickly be your quick competitive advantage.

Your culture works together to focus your goals on general goals in your goals.

Companies that enjoy the culture of aggression, positive teamwork and innovative attitudes tend to maintain and maintain competitive advantage.

3. Knowledge

The secret of business is to know something that nobody else knows.
~ Aristotle Onassis

4. Process

If you can make shiny-blue-widgets faster and cheaper than anybody else – it can present a durable competitive advantage.

Superior procedures can be difficult to imitate your competitors.

In some cases, the process will cause the back of the door to close. However, it is also difficult for the organization to copy the process to face the public as a customer service.

There have been good relationships for ten years with customers of several organizations. There is a risky relationship with the customer until the other companies have a strong bankruptcy in bankruptcy.

General knowledge is widely available on the Internet. However, the vast majority of industries in the world are locked in the knowledge management system.

You can not read how you can design, produce and sell the Internet. It requires a great deal of knowledge that is difficult to achieve. In many industries, know how to entry a great barrier. There is no public manual to start an investment bank or robotic company.

The great thing about knowledge helps you to change it. It’s durable as long as you make it progressive.

5. Technology

The companies combine technology to innovate, produce, process and support customer relationships. In large companies, this technology stack became extremely complex.

Companies that are effectively organized and managed by technological technology, can enjoy an important competitive advantage for developing technology skills and skills.

6. Capital

Capital investment can represent sustainable contests if you have your own capital that no one else can buy.

If you have a railway that crosses hundreds of kilometers of urban land, it is almost impossible to build a competitive route. It represents a competitive advantage that is so strong that it can be considered exclusive in certain cases.

Less grand scale, retail or hotel location can represent durable competitive advantages. If you buy land near the most popular beaches on the island – you will be able to cross the hotels near the less attractive beaches continuously.

7. Durability and Permanent Competitive Advantages

Changes in business are not always predictable. However, once it comes along with a giant tendency that everyone makes or breaks. Stability is a kind of trend.

Stability The human population growth rate and the ability to bear for economic activity.

The government and the markets have begun a complex process to integrate sustainability goals with economic goals.

If you create shiny-blue-widgets and sell for $ 1 which can be durable. However, if your production process damages $ 40 per widget environment, it is not sustainable.

Support companies that will have neutral or positive impact on sustainability of future planets.

Permanent competitive advantage is that you do something better than an organization that is not likely to be damaged.


There are several companies with sustainable competitive advantage examples that turned them great. At its most basic level, there are three main types of sustainable competitive advantages.

Cost Benefit: Competition in Business Value.

Price advantage: The business offers a different value that is considered to be of superior quality.

Focus Benefit: The business focuses on a particular market place with a fun proposal designed specifically for that segment of the market.

Economy of scale: The basic principle of scale economy is to increase output as cost per unit decreases. Low cost per unit is driven primarily by the presence of fixed costs in the business cost curve.

Consumer preference: In some industries, consumers strongly favor certain brands, such as soft drinks, cigarettes, etc. Brand preferences can arise for a variety of reasons, such as the uniqueness or continuity of a product, the status symbol or the quality of the product.

Cost switching: Switching costs serve as another source of SCA that leads them into customer confinement. Switching costs can arise for several reasons. For example, customers need to spend enough to switch from one provider to another, or there may be substantial business impact related to potential loss of business or significant inconvenience to the client’s clients.

Network Impact: Network Impact refers to a certain type of competitive advantage that requires a certain amount of time for customers / customers to focus on the largest company in the natural company and when joining a new user / customer network, all users increase their access and / Or user Tea costs decrease as well as close.

Mission Criticism: Generally, these specialized businesses have built a strong reputation as a reliable product / service provider for mission-critical needs of customers.

Low cost logistics: Finally, some businesses have more access to low cost supply sources than their competitors. Such benefits are different from economies of scale, as they are not driven by the scale of operations but are driven by favorable sources of supply.

Most small businesses do not have the power to share in the market and effectively buy the power to compete at the price and not enough for all the customers to do everything in the market.

Therefore, to successfully compete, small businesses should develop a sustainable competitive advantage based on the higher value of a particular feature.

Often mentioned that other benefits and benefits of that first mover The first mover facility, where the first entry into the new market has gained an advantage over other competitors entering the market later.

However, when the first mover is able to provide initial advantage, in my opinion it is not sustainable until it is supported by the three listed above benefits.

Good examples of Google and Facebook. None of these companies were the first movie, but both of them now dominate their respective markets.

sustainable competitive advantage examples

There are several companies with sustainable competitive advantage examples that turned them great. Examples of companies with durable competitive advantage in their company or industry

1. Strong research and innovation

The technology industry is one of the leading industries in the field of strong research and innovation. And when it comes to determining speed using innovation as leverage; Two companies that hold leadership positions by inventing them as Apple and Sony both competitive advantages.

2. Brand popularity

Globally recognized as a respected brand is a series of competitive advantages that companies like Virgin, Apple and Coca Cola have been used as leverage to keep the market for years. An organization that has used its brand name as a lever for new market breaks in the entire new region of Virgin.

3. Corporate fame

Corporate reputation is a form of sustainable competitive advantage that leverages the global organizations such as the Price Waterhouse and Berkshire Hathaway.

4. Strategic Resources

Holding strategic assets as patents stands a strong source of sustainable competitive advantage and due to the general patent held time test. The possession of this strategic property is that you think the General Electric of the world’s most powerful organization

5. High volume production

Dangote Group has been formed among African leading companies because it can produce high volume products and ensure uniform prices across Nigeria.

6. Access to the work capital

In general, public liabilities (cited organizations) hold a series of competitive advantage over private organizations due to their infinite capability to raise capital from the public. See how Oracle acquired 57 companies in five years and invested $ 1 billion to open a chain of Reliance Industries retail market.

7. Entry barriers

Barriers to entry due to government restrictions and regulation The source of sustainable competitive advantage for Telmax and Chevron etc.

8. Superior product or customer support

The AQA has become the market leader in the furniture industry because it has the ability to deliver superior products at an affordable rate; Supported by a strong customer support system.

9. Exclusive Re-sale or Distribution Rights

Due to the exclusive distribution of the BMW brand across West Africa, the Kosarkis Group has grown in the major automobile retailers of Nigeria and West Africa.

10. Capital equipment ownership

Capital equipment’s ownership could be a great source of sustainable competitive advantage and Julius Berger has proven to turn a leading company in the construction industry.

11. Flexibility

The ability to swiftly change is a power and source of sustainable competitive advantages to become Microsoft’s largest software company.

12. Speed and time

Until FedEx and Domino Pizza were used as leverage to become an industrial pas-center, the speed and time were simultaneously monitoring surveillance of sustainable competitive advantages.

13. Low price

While writing this, Wall-Mart is the world’s largest stock-market company. Thanks to its low price strategy that has become its strongest source of competitive advantage.

13. Superior database management and data processing power

GTBank, AT & T, Google, Facebook has become their best market leader due to their superior database management and data processing capabilities.

14. Strategic Resources

Patent, trademark, copying rights, domain name and long-term agreement are examples of strategic assets that provide sustainable competitive advantages. There may be valuable strategic resources with excellent research and development.

15. Barriers to entry

The cost of entry of an existing company on a new company is the most common barrier to entry. The common barrier to new investment costs (such as new factories) and government regimes trying to enter new markets The entry high barrier is sometimes made exclusively or near exclusively (such as utility companies).

16. Product line adapter

A product that changes is ripe for competition. A product line that can be improved for advanced or supplemental followup products, which would allow new customers to “come up with new and improved versions (like Apple iPhone) and perhaps return some items to it.

17. Product Separation

A unique product or service creates customer loyalty and is less likely to lose market share to the contender than on the basis of cost. Quality, number of models, flexibility in order (such as custom order) and customer service are all aspects that can distinguish a product or service positively.

18. Powerful balance sheet / cash

There is no problem with the flexibility of under-debt and / or large amounts of cash-related companies to invest, and access to effective capital, liquidity or solvency. The basis of the balance sheet company.

19. Eminent management / people

There is always outstanding management outstanding. It is difficult to measure, but there are winners and damaged. Winners seem to make the right decision at the right time. The way winners encourage their challenges and give their employees the most benefit. Management that has succeeded over a few years is a competitive advantage.

20. Price investment and permanent competitive advantages

One can be successful with the companies with durable competitive advantage. Finding companies with multiple durable competitive advantages will greatly improve the chances of you getting a real value stock.

21. Brand

One of the strongest sustainable competitive advantages is because it takes not only money but a long time to build a successful brand. Example: Coca-Cola.

22. Network effects

“Network effects” when the value of a product or service depends on the number of its users. In a positive network effect, the more people use it, the more valuable the product becomes. Once the user base reaches a critical mass, it is extremely difficult for anyone else to achieve the same position. Example: eBay.

23. Patient

Patents are essentially a temporary monopoly granted by the government to stimulate risky R&D. Example: Biotechnology and Pharmaceutical Company.

24. Know how

If a critical enabling element can be kept secret, it can be a source of sustainable benefits. Example: Google.

25. Scale

Scale can give companies sustainable benefits in various ways. For example, large chains in the retail industry can use their scales to buy lower-priced merchandise unavailable to their smaller competitors. Example: Walmart.

26. Customer is locked in

Some businesses make products or services that have very high switching costs for customers. For example, enterprise automation software, such as ERP systems, is so integrated with complex customer functions that it is impossible to change an ERP vendor. Example: SAP.

27. Exclusive access to a resource

Exclusive or near-exclusive access to valuable resources can offer a sustainable advantage. For example, China currently supplies about 95% of the world’s rare earth.

28. Exclusive license

Sometimes the government granted an exclusive license to do business. For example, Stepan Company, the only US company, legally allows coca leaves to be imported and a cocaine extracted from them. Cocaine is then sold to a pharmaceutical firm, while the remainder of the leaves are sold to Coca-Cola (to make Coca-Cola syrup).

Steps to developing a sustainable competitive advantage

There are several companies with sustainable competitive advantage examples that turned them great. Understand the market and its segments. Look for those niches are not well serviced by the competitors and can be targeted professionally and sold.

Develop customers to understand what they really want and set a standard offer that attracts them.

How it works, what you really need to do to support and deliver the price proposal. For example, the level of service, quality, branding, price, and cetera.

Understand what your strengths and key skills are and how you can use it in an innovative way to price your selected market.

Design your business model to support and offer price offers.

At the end of this process, you will have a very clearly defined statement:

  • Who will sell you (customer and market category);
  • Why they buy from you and not your competitors (price offer); And
  • The essential thing is to essentially be excel to be able to encourage your standard offer.

Once you’ve found your sustainable competitive advantage, you have to use it in many ways for business privileges.

The Coca-Cola Business Model: A Sustainable Competitive Advantage Example

The Coca-Cola Business Model: A Sustainable Competitive Advantage Example

Take away

We have discussed, about companies with sustainable competitive advantage examples that turned them great. As a final note, the source of the relevant agency that leveraged these durable competitive advantages and similar benefits. You can not win at every stage; You just have to win at one stage. If you can not win with constant inventions or lower prices, you can win with speed and flexibility.

By using your sustainable competitive advantage in your sales and marketing, your customers should understand why they should be part of the dollar and you should give them instead of your competition.

As a result, your staff makes it easy to sell your products or services and know their commitments will be delivered.

They know that the whole business focuses on ensuring that the sustainable competitive advantage is secure and capitalized.

Guide your decision taking your sustainable competitive advantage examples and you can provide direction and sharp focus.

If a new opportunity for business does not support your sustainable competitive advantage, then you should ask whether you will follow that opportunity.

Is your sustainable competitive advantage example is more important than building a long-term growth, short-term stability, and short-term growth?

Effective use of these long-term scenarios and durable competitive advantages can support higher returns on the capital invested in the business in the face of rigorous competition.

This location creates a business value and can add a premium for the sale price. That’s a benefit a business owner wants.

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