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- Implement best practices throughout the firm, particularly for high-value activities.

- Redesign products, components and activities to facilitate speedier and more economical manufacture or assembly.

- Relocate high-cost activities to external value chains to be performed more cheaply by vendors or contractors.

- Reallocate resources to activities that address buyers' most important purchase criteria.

- Adopt productivity-enhancing, cost-saving technological improvements that spur innovation, improve design, and enhance creativity.

- Pressure suppliers for lower prices.

- Switch to lower-priced substitute inputs.

- Collaborate closely with suppliers to identify mutual cost-saving opportunities.

- Work with suppliers to enhance the firm's differentiation.

- Select and retain suppliers who meet higher-quality standards.

- Coordinate with suppliers to enhance design or other features desired by customers.

- Provide incentives to suppliers to meet higher-quality standards, and assist suppliers in their efforts to improve.

- Supplier-related cost disadvantages can be attacked by pressuring suppliers for lower prices, switching to lower-priced substitute inputs, and collaborating closely with suppliers to identify mutual cost-saving opportunities.

- A firm can enhance its customer value proposition through its supplier relationship by selecting and retaining suppliers that meet higher-quality standards, providing quality-based incentives to suppliers, and integrating suppliers into the design process

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What are the two basic ways that companies achieve competitive advantage over their business rivals?

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What are the two basic ways that companies achieve competitive advantage over their business rivals quizlet?

What are the two basic ways that companies achieve competitive advantage over their business rivals? - Deliver higher perceived value to customers. - Produce products or services at a lower cost.

What is the ability of an organization to generate higher profits compared to its rivals?

Comparative advantage is a company's ability to produce something more efficiently than a rival, which leads to greater profit margins. A differential advantage is when a company's products are seen as both unique and of higher quality, relative to those of a competitor.

Which four conditions are necessary for resources to be a source of competitive advantage?

Barney maintained that for resources to hold potential as sources of sustainable competitive advantage, they should be valuable, rare, inimitable and non-substitutable (VRIN).