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Ayrıntılar PORTER’S COMPETITIVE ADVANTAGE THEORY :
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İsimPORTER’S COMPETITIVE ADVANTAGE THEORY :
AçıklamaPORTER’S COMPETITIVE ADVANTAGE THEORY : As we have seen before factor abundance leads to comparative advantage. Perhaps this theory overlooks an important point. When factors are abundant, it might lead to inefficient use of that factor as there is little incentive to use this factor in an efficient way. If factors are scarce, firms have a strong incentive to make efficient use of the available resources, and be innovative. There are numerous examples of cases where scarcity has led to innovation. Japans scarcity of land has delivered us the just-in-time production. In the North Sea, oil platforms are expensive to build and maintain; their scarcity has led to the development of horizontal drilling to reach distant under-sea oil reservoirs. Short building seasons in Sweden have led to prefabricated houses. Michael Porter is an very famous Harward professor who is especially well known with the theory of nations competitive advantage.According to the Porter the standard and classical theories on comparative advantage are wrong. Michael Porter (1990) proposed a model that provides conditions that have to be met for a firm to be internationally competitive and successful. He believes that a nation attains a competitive advantage if its firms are competitive. Firms become competitive through innovation. Innovation can include technical improvements to the product or to the production. This model focuses on four primary conditions which he arranged in a diamond-shaped diagram (hence the name "Porters diamond"). These four key elements to international entrepreneurial success are: factor conditions (i.e. the nations position in factors of production, such as skilled labour and infrastructure), demand conditions (i.e. sophisticated customers in home market), related and supporting industries, and firm strategy, structure and rivalry (i.e. conditions for organization of companies, and the nature of domestic rivalry). ...
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Ekleme tarihi: 15.10.2008 16:13
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En son güncelleme 14.10.2008 16:14
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