Refers to the ability of the country or company to offer greater value to customers, either by means of lower prices, or offering more benefits and services at the same price.

Four Stages of Development in the Evolution of a Country

Four determinants that linked together to form Porter’s Diamond

help in setting new goals.

helps in managing operations.

helps in generating innovation.

By their actions and policies, increase the competitiveness of firms and occasionally entire industries.

If a company takes opportunities of chances open to them, they become more competitive.

Trade between and among different industries.

Trade between and among the same industry.

Is the series of stages through which a living thing passes from the beginning of its life until its death.

Refers to the length of time a product is introduced in the market until it is removed from the shelves.

Is a marketing strategy developed by Raymond Vernon to help companies to plan out the progress of their new products.

Charging an initially high price and gradually reducing (skimming) the price as the market grows.

Charging a low price to “penetrate” the market and capture market share, before increasing prices in relation to market growth.

Focused on multinational corporation (MNCs) and how they get a competitive advantage over other firms in their industry.

Refer to the obstacles a new firm may face when trying to enter an industry or a new market.

Are activities engaged in by companies for the invention of new products or services to remain competitive.

creations of the mind, a work or invention to which one has rights

exclusive right granted for a new, inventive and useful product that can be used for licensing.

is a word or group of words, sign, symbol, or a logo that distinguishes your goods; used for franchising

exclusive legal right to reproduce, publish, sell, or distribute the matter and form of something.

is a result of spreading the total fixed overhead cost among a greater number of units produced;

refers to economies that are unique to a firm.

refers to economies that are enjoyed by an entire industry.