Competitive advantage research

It has also enabled organizations to recruit workers that have special and unique backgrounds from a different section of the world to their organizations. This is because of the intense competition created in the business world. You may find that a number of institutions or nations offer same products or businesses are seeking customers from a limited target group. Therefore for an organization to outperform each other, they will have to apply the concept of competitive advantage. Competitive advantage is where organizations and firms outdo each other by generating high revenues or retaining a large number of clients just to mention a few. Innovation This is a very crucial aspect in each and every nation or firms. Best known companies, as well as nations, have gained a competitive advantage through constant innovations.

This means they see things in different ways through broad perspectives, angles, have flexibility as well as taking risks. For a nation to continue being innovative, it means that more funds will be allocated to development programs and training of its citizens or employees for that matter. According to Porter (2011), most big institutions view development and training as a key strategy in human resource management as it encourages innovation among works. This normally defines how firms are formed, managed and structured. Therefore it means if there is stiff domestic competition then the local firm will have to improve their strategies which intern leads to competitive advantage. The second element is the factor conditions which normally deal with the county's endowment in terms of factors of production.

This means if a nation has more endowments in terms of the factor of production it has a high capability of having a competitive advantage. For instance skilled labor, natural resources just to mention a few. This should describe the benefits that the product will be delivering and that it meets the need of the consumer as well as offer value. Also one must be aware of the emerging trends relating to the product so that improvements can be made. Also, this might lead to innovation so that the product stays in the market. Another determinant is the target market. Each business or nation should know their target market; know their needs so that they can offer a tailored product to their consumers.