Question

Search the Internet for two competing electronic industustrial supply catalogs or two competing direct-mail catalogs companies. Assume one of the represented businesses is your employer. After studing the catalogs, make a comparative analysis of your company's competitive advantages.

Answer 1

Answew: Take an Examples of competitive advantage electronic companies as apple and Ryanair

The Competitive advantage is basically the source by the means of which company acquires a position superior to the rest of competitors of the market, allowing it to be assure its profitability and the survival.

Michael Porter defends the 2 basic strategies as a source to develop as the competitive advantage of any company:

1.cost leadership and 2.differentiation.

Below you can findthe examples of competitive advantage of globally known companies, in these examples we want analyze the different pillars that support this advantage.

1.Competitive advantage of Apple

Apple is a recognized technology company that designs and produces the electronic products and software worldwide known as iPhone, iPad, iTunes or its operating systems like macOS or iOS.

Apple is clear cut example of dominant company in the technology market achieved this position through the competitive advantage of the differentiation, from its origins and over time Apple has achieved this competitive advantage thanks to its brand image, its a unique ecosystem, character and capacity innovative ...

(a). Brand image

Apple is globally known company whose strength brand give it great visibility in all the markets reaching new customers without major investments in the advertising.

The latest studies indicating how Apple brand far exceeds global brands such as the coca-Cola, Google, Ford etc. this excellent brand image allows you to retain & attract new customers. Currently, there is no alternate best technological company with this brand image on the market, which making Apple as a different company from the rest of its competitors.

(b). Unique ecosystem

One of the keys to Apple's success is its ecosystem, through which all products they are design basically focused on the software that governs it, optimizing it to the maximum & allowing a fast and fluid communication between all of its products. This unique ecosystem makes the Apple different from the rest of the competitors in a key aspect for the proper functioning & safety of any electronic device

(c). Innovation

Apple has been defined from its origins as an the innovative company, which invests the large amounts of money in the market research to detect future needs of its customers as well as the development of the new products or new functionalities. The iPod or the iMac are the clear cut examples of the innovative products, as well as the brand image together will make innovative different developments that make new electronic devices that have not been have to be accepted by the consumers a success in the hand of Apple as the iPhone within smartphones, Apple Watch within the field of smartwatches.

(d). High value added

For all the aspects of mentioned above together with a selection of balanced materials & high quality in their production processes both hardware and the software make Apple customer perceive their different products & with a high added value of the rest of competitors, allowing to put higher prices on products similar to those of the competition.

With all this we can appreciate how the strategy of differentiation has allowed to Apple reach its competitive advantage, applying this differentiation even in it famous slogan "Think different”:

2.Competitive advantage of Ryanair

Ryanair is an Irish now Europe airline leader in the passenger air transport sector in Europe, its becoming the most profitable & cheap airline on the planet.

Ryanair is a clear cut example of dominant company in its sector, thanks to the strategy of cost leadership as a source of its competitive advantage that has allowed it to offer the best prices while obtaining returns for it activity.

Ryanair has focused all its efforts on reducing cost of all its activities, as well as maximizing all the resources available in the company, strictly monitoring and controlling the cost. Among the different actions that have been carried out to achieve this competitive advantage I have mention it:

Power of negotiation with the suppliers and standardization of the product.

Ryanair has a fleet of aircraft of the same model Boeing 737-800, making purchases in large lots which allows you to make better negotiate and adapt the aircraft to your needs, obtaining very minute competitive purchase price.

Likewise, having a standardized product allows all the maintenance operations, pilot training & knowledge of the product to be reduced exponentially by experiences.

Cost reduction and optimization of the resources

The completion of the Check in by the passenger allows Ryanair to eliminate the cost of both staff & rental of the counter and associated services at the airport.

The sale of your tickets online as the only channel, allows you to centralize & optimize all the sales management in a single plant, saving both personnel and facilities costs.

Ryanair aircraft are flying as long as possible, optimizing the uses of airplanes to the maximum & reducing death times of their fleet, reaching high rates of productivity.

The services offered are simple and adjusted to the maximum for the price paid, any extra as the selection of seats, embarking before or any refreshment have a price associated with paying for the client.

The airports in which they operate are usually located in secondary towns in main cities, paying less for the use of these secondary airports & offering additional services such as car rental.

Strict cost controls

The boarding staff of Ryanair Air services performs strict control over the boarding elements in such a way that any anomaly is made known to the customer to pay the corresponding price.

The routes are studied and optimized upto the maximum, controlling the cost of all and eliminating them, those that do not reach the desired profitability.

The motto of the company itself has been for the years price, the price and the price, promoting a culture of cost control through which they can offer the best possible price.

As assume iam a business person under the Ryanair then its significantly differentiated to the apple which we take example before, both have different competitive advantages on their respective side.