Competitive advantage is between values and innovation- solely compete on price will hurt business and economy. if business does not want to compete on price, it need to differentiate its products to others. differentiation will create competitive advantage to firms. Competitive advantage will bring firms superior economic return. However, if a company only focus on the innovation, consumers are not ready to pay for the product, innovation is a waste of money. Timing is also important.
Each market is different from others, firms need different strategy - Markets are highly influenced by the location, people, culture, etc. When entering a new maker, the original strategy need to be adjusted. Culture is the big influencer of consumers in that market. Strategies should be adjusted based on the local culture.
the rise of virtual market - Virtual markets are becoming very successful these days. The reason is the virtual markets did a good job on combining online and offline physical business. If the business only focus on the online part, it will create a bubbles. Revenue model for online market is much clearer now than before.
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