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This software will determine your competitive position by evaluating your internal and external competitive
advantages with respect to your Most Important Competitor (MIC)
A Competitive Advantage is called "external" if it is based on distinctive qualities that create value for the customer:
design, energy savings, better performance,...
A good indicator for an external competitive advantage is the Market Power a product has: how does the maximum sales price the
market is willing to accept perform compared to our competitors?
A high relative maximum acceptable sales price is the result of distinctive product qualities customers value,
a good external competitive advantage. You are more able to meet the customer's needs than your competitor and can opt for
a differentiation strategy.
A Competitive Advantage is called "internal" if it is based on a better productivity, a better
internal performance through better organizational know-how or superior technology. Thus, the company has a better
profitability and can better react to market changes like price drops or economic crises than the competition.
An internal competitive advantage is reflected by low relative production costs.
Fill in the grid below or click on "Do my Competitive Advantage Analysis!" to view the example case:
Product Name |
Production Cost |
Production Cost MIC (*) |
Maximum acceptable Sales Price |
Maximum acceptable Sales Price MIC (*) |
(*) MIC = Most Important Competitor
Important Notes:
-This software works best with Internet Explorer 5.x and up,
Netscape 4.x and up and Opera 6.x and up.
-You can leave fields blank, you don't need data for five products (the software will replace blank fields and wrong data by a "0").
The only requirement is that the first row (product) is filled - you need to consider at least one product for a
competitive advantage analysis.
You do not need to label the products.
-The quality of the analysis depends of course on the quality of your data. Try to eliminate variables that will falsify/distort
the results, like an extremely great number for a given field compared to the others
(Example for a production cost: 5,7,8,700,9 - eliminate the product that scored 700)
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© Copyright, 2001-, by Laurent Müllender. All rights reserved. |
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