Porter’s Competitive Advantage Model and its Application in Bottled Drinking Water in Iran

Abstract

Since the classical economics, the model of competitive advantage at different levels (national, industry, firm) has been considered attentively by experts in economics and management. In recent years, one pivotal issue in the field of management has been the identification of competitive advantage sources and the breakthrough strategies for its preservation and development. The main purpose of this article is to explain one of the popular theories concerning the competitive advantage model, that is Porter's model, to show whether it is applicable in a country like Iran, which possesses a highly dominant government-based economy, or not. Besides, if it requires any modification in its pattern, what form of modification should it comprise? In terms of methodology, thus, this may be deemed an applied developmental research. Primary data targeted was obtained by means of a quantitative survey using a questionnaire technique of data collection. The questionnaire survey took place in the period from 10/2010 to 6/2011 and a total of 109 firms (undertaking their activities in the territory of the Iran) were involved. The results of the study show that Porter's model in both the upstream and the downstream forms must become developed and rectified. Ultimately, the most advantageous shape of the model for detecting the sources of competitive advantage in bottled drinking water industry is offered.

Public–Private Partnership Strategy in Increasing Competitiveness Advantage of Malaysia’s Halal Cosmetic and Personal Care Industry

“…The model suggests the role of government support in this regard. Attesting the validity of this model to understand the competitiveness of the halal industry is one of the vital contributions of the present study to existing theory since this model has been applied in various contexts, such as the hospitality industry (Nunes, Estevao, & Filipe, 2018), micro, small and medium enterprises (MSMEs) (Kharub & Sharma, 2017), subsidiary success (Holtbrügge & Friedmann, 2016), logistic cluster competitiveness study (Chung, 2016), the mineral water industry (Bakhshinejad, 2014), various industries (Bakan & Dogan, 2012), the broiler (Barbe & Triay, 2011), highly innovative and less innovative firms in (Eickelpasch, Lejpras, & Stephan, 2010). Furthermore, limited studies use the elements of transaction cost theory, i.e., contractual governance or relational governance related to government support in the halal industry.…”

Uluslararasi Ti̇caret Teori̇leri̇nden Desti̇nasyon Rekabetçi̇li̇ği̇ Modelleri̇ne Geçi̇ş: Kavramsal Bi̇r İnceleme

“…Ayrıca ulusal ekonomiler arasındaki rekabetten ziyade uluslararası düzeydeki belirli sektörler arasındaki rekabete odaklanmaktadır (Dragićević vd., 2012). Teoride, uluslararası pazarda rekabet avantajı sağlayan ve bu rekabet avantajını sürdürme kabiliyetini etkileyen dört analitik boyut (elmas) temel alınmıştır (Lee ve Chan-Olmsted, 2004;Bakhshinejad, 2014). Dört analitik boyut, faktör koşulları, talep koşulları, ilgili ve destek sektörleri ve firma stratejisi, yapı ve rekabet faktörlerinden oluşmaktadır ve bir ülkenin rekabet avantajını oluşturan özellikleri kapsamaktadır (Cho ve Moon, 2000: 61).…”

AfCTA and the Trajectory of Industrialisation and Development Sustainability in Africa

“…Several theories exist as the foundational basis for economic and development studies, from classical theories to neoclassical and modern theories. Notable for this study are: North's institutional change theories (North, 1990), Adam Smith's theory of comparative advantage (Merlitz, 2003;Weder, 2003;Wacziarg & Wallack, 2004;Sibanda, 2013;Sejkora & Sankot, 2017) amplified by Porter's model for geographic competitive advantage (Kaufman, Gittell & Merenda, 1994;Shehaan & Foss, 2009); Marx's historical materialism theory of development (Meir, 1994), Walt Rostow's economic growth theory (Rostow, 1960), and Porter's development driver's modes (Bakhshinejad, 2014). Furthermore, this study is based on liberal and modified economic theoretical framework, which assumes that productive efficiency will be achieved once states rationalise costs and process of their production by undertaking economic production in areas where there is relative production advantage.…”