The most effective way to defeat many companies are still struggling to find in global competition. In the long run, the competitive advantage will depend on whether the enterprise can build the core competitiveness with lower cost and faster than the opponent. Management has the ability to integrate the company’s technology and production skills into the core competitiveness, so that the business can grasp the changing opportunities in a timely manner, this is the real advantage.
diversified corporation is a large tree, the trunk and major limbs are the core products, the smaller branches are business units, leaves, flowers and fruits are end products. For the tree to provide nutrients and support the role of the root system is the company’s core competitiveness.
many companies turn to external suppliers in order to reduce internal investment act, is actually their core competitiveness to give to others. In addition, if the company has developed the necessary capacity in the existing business, but then gave up the opportunity to build a core competitiveness, but also will cause the loss of core competitiveness.