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Strategy Analysis on Developing Core Competence in BM Company

Author: LiLi
Tutor: FanWangBang
School: Northwestern University
Course: Business Administration
Keywords: Core Competence Innovations Development
CLC: F272
Type: Master's thesis
Year: 2006
Downloads: 129
Quote: 0
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Abstract


Beginning from the 1990’s, economic globalization has paved its way in all directions. The globalization process has brought all companies in different countries onto a stage where every enterprise faces direct and severe competition. Stiff competition has evidenced that each participating firm has to reconsider the competing strategies they are using. It has become obvious that any given firm, big or small, can not simply win out in all areas given the current context of much more detailed industry specialization and division. To be the stronger and bigger, a firm has to acquire competitive advantages by way of developing its own core competence—core technology and core products.The efficacy of core competence of a firm has been widely recognized by both industrial entrepreneurs and theoretical specialists and the role it played has become more and more important. Core competence is the true decisive and destructive weapon for an enterprise to better off in the competition.But how can a firm, especially a small and medium sized enterprise (SME), develop its core competence?This paper has analyzed, by using literature and document studies, comparative studies and individual case analysis, the process of developing the core competence of Company BM. By studying the process, the strengths and weaknesses of Company BM has also been unveiled. The paper argues that the strategy of developing a successful core competence for Company BM cannot be done without a careful approach to its value chain analysis. Innovation is the stress throughout the paper. From both a pragmatic perspective and theoretical point of view, the author contends that not only technological innovations but also managerial and organizational innovations which play key roles in core competence formulation and development.

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CLC: > Economic > Economic planning and management > Enterprise economy > Enterprise planning and management decision - making
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