Table 5.
Conceptual framework of transforming traditional competitive advantages into competitive advantages based on core competencies.
Parameter | Traditional competitive advantages | Competitive advantages based on core competencies |
---|---|---|
Main competitive strategy of the company | Cost leadership strategy | Cost leadership strategy and differentiation strategy |
Strategic goal of the company | Reducing costs | Reducing costs and creation of additional customer value |
Approach to strategy creation | RBV + MV | RBV + MV + Сore Competencies |
Key foundation for competitive advantages creation | Tangible assets | Intangible assets |
Key resources | Mineral, production, logistics | Intelligent, organizational, digital |
Type of vertical integration | Backward integration | Forward integration |
Business modelflexibility | Flexible production model | Flexible sales and services model |
Profit increment | Production | Sales and services, digital solutions and offerings |
Investments | In production facilities | In R&D, intellectual capital, digitalization |
Diversification | Production | Sales and services |
Type of competition | Price competition | Price, product and services competition |