Running head: COMPETITIVE ADVANTAGE
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Competitive advantage is an aspect which refers to the attributes that allow an
organization to outshine its rivalries. The best example of competitive advantage is the brand that
a company uses to differentiate itself from its competitors. Among the three brands that are
believed to possess the strongest likelihood of remaining a source of advantage in the 21st
century include Google, Microsoft, and Coca Cola brands. According to Wagner III and
Hollenbeck 2014, a brand that is robust helps an organization in driving demand as well as
pricing power. A brand like Google has been able to withstand the stiff global competition and
emerge among the best-performing companies. This has been achieved through strategies like
the innovation of smart home technology, self-driving cars as well as conducting great levels of
research on the market. Coca-Cola, being a non-tech brand, has also been able to achieve such a
position through changing drinking habits globally as well as developing products that fit
customers’ demands for instance take away bottles and brands with different tastes. Microsoft
brand being involved in software and hardware services has enhanced its operations through
development of intelligent devices, such as phones and computing devices with improved
features that are pleasing to the global market.
Internet capabilities will ensure the enhancement of awareness for every company’s
brand thereby reaching extensive areas. This will increase the market share of each company’s
brand while at the same time easing marketing and advertising. Owners of these brands should
embrace such an impact of internet as this will help in reducing operational costs particularly on
marketing and advertising (Wagner III and Hollenbeck 2014).
Among the strengths that Coca-Cola company has included largest market share, a high
valuation for the company, a large distribution network which helps in covering a wide area
especially when it comes to marketing and advertising. Also, the company also benefits from
high levels of customer loyalty as well as strong image and portfolio on its brand. Its weaknesses
include a lot of pressure from rival brands such as Pepsi, fluctuations in currency, issues on
management of water while mixing the ingredients as well as low levels of diversification on
The strengths have enabled Coca Cola brand to be well known in almost every part of the
world consequently resulting to a great level of popularity (Urbancova, 2013). This will enable
the company to minimize the weakness of pressure from rivalries. The company should also use
its strengths to match the competition in health drinks through the introduction of new products
as well as products diversification.
Urbancova, H. (2013). Competitive advantage achievement through innovation and knowledge.
Journal of Competitiveness, 5(1).
Wagner III, J. A., & Hollenbeck, J. R. (2014). Organizational behavior: Securing a competitive
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