Mr. Juma John
KENYATTA UNIVERSITY
SCHOOL OF BUSINESS
DEPARTMENT OF BUSINESS ADMINISTRATION
UNIT NAME: STRATEGIC SEMINAR
UNIT CODE: BBA 862
TASK: COMPETITIVE ADVANTAGE IN DEVERSIFICATION
LECTURER: MWANZIA
NAMES REG. NO.
JUMA JOHN OLAMBO D53/MSA/PT/24807/2013
"This paper is submitted in the partial fulfillment of Masters in Business Administration requirements of Kenyatta University for the academic year 2013/2014"
COMPETITIVE ADVANTAGE IN DEVERSIFICATION; COMPANIES THAT DIVERSIFY ISSUES
A competitive advantage is an advantage gained over competitors by offering customers greater value, either through lower prices or providing additional benefits and service that justify similar or higher prices.
The term competitive advantage is the ability gained through attributes and resources to perform at a higher level than others in the same industry or market (Christensen and Fahey 1984, Kay 1994, Porter 1980 cited by Chacarbaghi and Lynch 1999).
The study of such advantage has attracted profound research interest due to contemporary issues regarding superior performance levels of firms in the present competitive market conditions. "A firm is said to have a competitive advantage, when it is implementing a value creating strategy not simultaneously being implemented by any current or potential player" (Barney 1991 cited by Clulow et al.2003, p. 221).
Successfully implemented strategies will lift a firm to superior performance by facilitating the firm with competitive advantage to outperform current or potential players (Passemard and Calantone 2000, p. 18). To gain competitive advantage a business strategy of a firm manipulates the various resources over which it has direct control and these resources have the ability to generate competitive advantage (Reed and Fillippi 1990 cited by Rijamampianina 2003, p. 362). Superior performance outcomes and superiority in production resources reflects competitive advantage (Day and Wesley 1988
SCHOOL OF BUSINESS
DEPARTMENT OF BUSINESS ADMINISTRATION
UNIT NAME: STRATEGIC SEMINAR
UNIT CODE: BBA 862
TASK: COMPETITIVE ADVANTAGE IN DEVERSIFICATION
LECTURER: MWANZIA
NAMES REG. NO.
JUMA JOHN OLAMBO D53/MSA/PT/24807/2013
"This paper is submitted in the partial fulfillment of Masters in Business Administration requirements of Kenyatta University for the academic year 2013/2014"
COMPETITIVE ADVANTAGE IN DEVERSIFICATION; COMPANIES THAT DIVERSIFY ISSUES
A competitive advantage is an advantage gained over competitors by offering customers greater value, either through lower prices or providing additional benefits and service that justify similar or higher prices.
The term competitive advantage is the ability gained through attributes and resources to perform at a higher level than others in the same industry or market (Christensen and Fahey 1984, Kay 1994, Porter 1980 cited by Chacarbaghi and Lynch 1999).
The study of such advantage has attracted profound research interest due to contemporary issues regarding superior performance levels of firms in the present competitive market conditions. "A firm is said to have a competitive advantage, when it is implementing a value creating strategy not simultaneously being implemented by any current or potential player" (Barney 1991 cited by Clulow et al.2003, p. 221).
Successfully implemented strategies will lift a firm to superior performance by facilitating the firm with competitive advantage to outperform current or potential players (Passemard and Calantone 2000, p. 18). To gain competitive advantage a business strategy of a firm manipulates the various resources over which it has direct control and these resources have the ability to generate competitive advantage (Reed and Fillippi 1990 cited by Rijamampianina 2003, p. 362). Superior performance outcomes and superiority in production resources reflects competitive advantage (Day and Wesley 1988