The paper "Magic Culture Company Competitive Positioning " is a perfect example of a business case study. The competitor analysis is necessary background research for our business plan. In this section, our focus will shift from our competitors to our business; specifically what factors will set our products and services apart from our competitors such as Timberland, Patagonia, Bass Pro Shops, Cabello’ s, L. L. Bean and REI. Previously, we had highlighted the business potential sources of competitive advantage through writing a mission statement, conducting a market analysis, and determining the value proposition in the competitor analysis above.
This section will examine the competitors’ analysis section closely; formalize the sources of competitive advantage for the business where we are going to use two approaches to explain Magic culture sources of competitive advantage Opportunities-threats approach The competitor analysis grid shows the weaknesses and strengths of a company’ s competitors and the other half of SWOT analysis looks for opportunities and threats that a company can use. Basically, there are two types of strategies under the competitor analysis grid, namely; weakness-opportunity strategy and strength-threat strategy. 1.1.1 Weakness-opportunity strategy Magic Culture Company will use a weakness-opportunity strategy to create an opportunity for its business based on a weakness found in competitors such as Timberland, Patagonia, Bass Pro Shops, Cabello’ s, L. L.
Bean and REI to make them sources of competitive advantage against these competitors. Using this grid one of the sources of competitors’ advantage for Magic culture is that it the only website that will display a specific target audience (women aged between 25 and 40 who buy outdoor clothing) as a quick scan through the websites of our competitors does not reveal who the website is targeting.
This will be a source of competitors’ advantage for Magic culture online clothing business as customer want to deal with specialists as they believe they understand their deep-seated needs and desires at a core level, it will be easier to for Magic Culture keeps on top of trends and best practices, it has more value and the business name will spread rapidly, and it will be easy and less expensive to get customers to know, like, and trust the company.
ReferencesRiley J (2012). Competitive Advantage Retrieved on 7th October 2012 from http://www.tutor2u.net/business/strategy/competitive_advantage.htm