There are 4 type of business model concept that we should know in this business strategy
1. Competitive Advantage
2. Value Chain
3. Core Competency
4. The Experience Curve
Competitive Advantage
A competitive advantage is an advantage over competitors gained by offering consumers greater value, either by means of lower prices or by providing greater benefits and service that justifies higher prices.
Porter suggested four "generic" business strategies that could be adopted in order to gain competitive advantage. The strategies relate to the extent to which the scope of a business' activities are narrow versus broad and the extent to which a business seeks to differentiate its products.
Value Chain
A core competency is a company's unique characteristic or capability that provides a competitive advantage in the marketplace, delivers value to customers, and contributes to continued organizational growth. Core competencies typically comprise fundamental knowledge, ability or expertise in a specific subject area or skill set, allow a business to reach a wide range of markets, and cannot be easily replicated by competitors.
The Experience Curve
The more experience a firm has in producing a particular product, the lower its costs. For example the doctor, the more he/she got knowledge or experience the higher the tax they charge to the customer.
For my group the suitable business model concept is the value chain. We want to make a theme park in Sarawak and it is a new theme park at Pantai Damai, santobong Sarawak.
REFERENCE
- R.Margart (2007): Teach target: definition core competency [Online] Available at: http://searchcio.techtarget.com/definition/core-competency
- E.Michael (2010): Quich MBA, Strategic management: competitive advantage [Online] Available http://www.quickmba.com/strategy/competitive-advantage/
- R.Jim (2015): Tutor2U, Competitive advantage [Online] Available at:http://www.tutor2u.net/business/reference/competitive-advantage
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