3. The environment
4. The internal capabilities of companies
5. Can companies sustain competitive advantage
6. Links between the dynamic environment and the internal competence's of
9 Appendix Vodaphone PESTLE analysis
"Several academics and practitioners argue that nowadays the
business environment is so dynamic that companies cannot
possibly achieve a sustainable competitive advantage."
To analyze this statement it is necessary to examine the current environment. To assist us in this aim there are a few tools which have been examined along with the findings of previous researchers. The report also looks at how a company can create internal competencies and if this will effect there sustainability in the current environment. After consideration of the above investigations a reasonable conclusion is suggested.
Competition determines the success or failure of a company. It also determines the direction of a company's activity that can contribute to its performance. Competitive strategy involves searching for a desired competitive position in an industry, which is where most competition takes place.
Competitive strategy aims to establish a profitable and sustainable position against the forces that determine industry competition', (Porter, 1980).
Competitive advantage develops out of value a company is able to create for its buyers, that is greater than the cost of creating it. Value is determined by what the customer will pay and from offering lower prices than competitors for the same benefits or for a unique benefit.
Campbell et al (2002) states that the rapid pace of technological, political, economic and social change, the increasing turbulence of the business environment , the growing sophistication of customer needs and the drastic shortening of product life... [continues]
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