A company's competitive strategy shouldMultiple Choicebe supportive with its objective to become at least an average performer within its industry.be well attuned to doing an outstanding job of satisfying the needs and expectations of niche buyers.ensure it is designed to concentrate on a small range of products so it can react quickly to competitive moves.be well matched to its resources and capabilities in order to incorporate standard attributes into its product offering.be well matched to its internal situation and predicated on leveraging its collection of competitively valuable resources and competencies.

One important indicator of how well a company's present strategy is working is whetherMultiple Choiceits strategy is built around at least two of the industry's key success factors.it is customarily a first-mover in introducing new or improved products (a good sign) or a late-mover (a bad sign).it has more core competencies than close rivals.it is subject to weaker competitive forces and pressures than close rivals (a good sign) or stronger competitive forces and pressures (a bad sign).the company is achieving its financial and strategic objectives and is an above-average industry performer.

A company's strengths are important because theyMultiple Choicepave the way for establishing a low-cost advantage over rivals.provide extra muscle in helping lengthen the company's value chain.provide extra organizational muscle in turning a core competence into a key success factor.represent the quality of its competitive assets that enhance its competitiveness in the marketplace.give it competitive protection against the industry's driving forces.

A sustainable competitive advantage is gained when a companyMultiple Choicehas sufficient resources to expedite its strategy.has durable competitive assets that are central to its strategy and superior to those of rival firms.realizes its inherent weaknesses are transformable to advantages.can stand out relative to rivals because of resource utilization.has resources in well-populated geographical locations.

The biggest and most important differences among the competitive strategies of different companies boil down toMultiple Choicewhether a company's market target is broad or narrow and whether the company is pursuing a competitive advantage linked to low cost or differentiation.how they go about building a brand name image that buyers trust and whether they are a risk-taker or risk-avoider.the kinds of actions companies take to improve their competitive assets and reduce their competitive liabilities.the relative emphasis they place on offensive versus defensive strategies.the different ways the companies try to cope with the five competitive forces.

A company that is at a disadvantage in the marketplace because it lacks competitively valuable resources possessed by rivalsMultiple Choiceshould adopt a new competitive strategy that might better match the circumstances of the marketplace.should abandon strategy elements that have caused its weakness in the marketplace.should undertake efforts to develop a distinctive competence.is virtually blocked from using offensive strategies and must rely on defensive strategies.nearly always is relegated to a trailing position in the industry.