Matt Koppenheffer from The Motley Fool highlights Jaynie L. Smith’s book, Creating Competitive Advantage, in his article titled “5 Companies That Know Why They’re Great.” Matt goes on to feature 5 companies that he feels clearly and concisly articulates their competitive advantages to their customers and target market.
Here is a synoposis of what he says about the importance of Competitive Advantage:
“If you’re a CEO running a company — whether it’s a small start-up or a major Fortune 500 giant — your success will ultimately boil down to creating and sustaining a competitive advantage that allows you to consistently outpace your competitors. But simply having a competitive advantage may not be terribly useful to you if you don’t know what your competitive advantage is and how to make the most of it.
But it’s not just CEOs who should be laser-focused on competitive advantage. Some of the most successful long-term investors are those who put emphasis on finding companies with strong competitive moats. Don’t take it from me. I recently highlighted the fact that Warren Buffett has said that competitive advantage is “the key to investing.”
To read more from this article and to learn about the 5 companies featured, please click here.