Essay on Sustainable Advantage
Number of words: 651
Obtaining a sustainable advantage in business is not an easy thing for companies that sell their products in the street market. A USP (Unique Selling Proposition) is essential for any firm that provides basic consumer goods. Firms that need to do better in the market and gain competitive advantage must possess a unique feature that makes it sell more (Chen & Wang, 2016). Gluten-free foods are preferable for many people in the struggle to stay healthy. Natural foods help one maintain a healthy lifestyle, leading to increased demand for such foods in the streets. Very few firms can produce natural food for consumers in the UK, making demand go higher than what suppliers can provide . As such, natural, healthy food has become expensive for many in the streets. Individuals who are allergic to food that has chemicals benefit from the consumption of gluten-free products in the market. The unique proposition, in this case, is the natural food that the company will seek to provide in the market.
To build and sustain a USP requires a firm to understand its core competencies and get a more profound overview of the consumer behavior in that particular market. Equally, sustainable USP can help a company gain a competitive advantage. Health foods are valuable to many, and this makes an opportunity for the firm to build on its core competence. Most firms that sell food in the streets sell junk foods that are not healthy to many. The ability to supply fresh produce ranging from vegetables, fruits, fresh meat, legumes, dairy products, and fish makes the firm unique from its competitors. Core competencies should ensure relevance, be difficult to imitate, and must apply in many fronts (Niu & Wang, 2016). Food is natural and healthy or not, hence, one cannot imitate or lie to consumers.
A VRIO analysis is essential to determine resources that the firm possesses, which makes it better placed to gain a sustainable advantage. For instance, the fact that the firm will supply foods that are healthy and natural makes it unique. With a substantial amount of capital, the firm can buy produce for sale in the streets. It is through resources that the firm posses that can enable it to do better in the market over competitors. Also, the ability to receive produce on credit from suppliers can help the firm make a stride in the market. The need for people to lead healthy lifestyles has led to increased demand for natural foods in the streets. Competitor firms in the market lack an established financial system to supply gluten-free foods in the market. As such, the firm should capitalize on ensuring consistency, availability, and affordability of natural food in the market (Bustinza, Bigdeli, Baines & Elliot, 2015).
Building a competitive advantage is one thing, but maintaining it is different. Sustainability can only be achieved through strategic planning, implementation, and assessment of appropriate business policies. Being a start, the firm might lack adequate resources to adopt complicated business models, which its competitors are not using. Moreover, the strategy that the firm intends to apply in the market is economically viable and might prove to be valuable in the future. Imitating natural foods ahs consequences as the health department can b able to detect. As such, the approach is helpful for the firm in establishing sustainable advantage over the rest of its competitors.
Bustinza, O. F., Bigdeli, A. Z., Baines, T., & Elliot, C. (2015). Servitization and competitive advantage: the importance of organizational structure and value chain position. Research-Technology Management, 58(5), 53-60.
Chen, T., & Wang, Y. C. (2016). Evaluating sustainable advantages in productivity with a systematic procedure. The International Journal of Advanced Manufacturing Technology, 87(5-8), 1435-1442.
Niu, Y., & Wang, C. L. (2016). Revised Unique Selling Proposition: Scale Development, Validation, and Application. Journal of Promotion Management, 22(6), 874-896.