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Essay / Research Paper Abstract
This 5 page paper considers the strategies that are available to Clearsky following their loss of the potential for a first mover advantage for the instillation of internet services in their aircraft. The paper looks at the strategic choices of abandoning the plan, or looking for a new supplier. The bibliography cites 10 sources.
Page Count:
4 pages (~225 words per page)
File: TS14_TEclearsky2.rtf
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Unformatted sample text from the term paper:
potential for the first mover advantage following Darkswords agreement with Surfshop, even if the firm moves quickly it is unlikely that they will be able to gain the planned first
mover advantage. In order to assess the alternatives each can be considered. The first issue is to look at whether it is worth implementing an internet strategy. To
consider the way that this may assessed we first need to consider that way that the firm may choose to compete. With the loss of the internet to be marketed
and leveraged as a first mover advantage, alternatives need to be considered. Michael Porter has considered the way in which firms compete,
and defined two types of competitive advantage. These are cost advantage and differentiation (Mintzberg et al, 2008). The development of a competitive advantage is to increase the profit level.
This is undertaken by satisfying customer needs. Profit may be created by supplying a product that is the same as other products on the market, at a lower cost, or
by adding extra value to the product which will mean a customer is happier to pay a higher price for the product, a price which is greater than the cost
level of providing that differentiation (Grant, 2004). In trying to undertake a cost advantage the company may seek to be the cost leader in either the industry, or just
the relevant segment of the industry. In each industry or segment only one company may occupy the cost leadership position. This means a company will "find and exploit all sources
of cost advantage... [and] ... sell a standards no frills product" (Porter, 1985; 13). This means that the cost to the firm of producing the good is lower than to
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