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Competitive Advantage
You are a marketing consultant to Tim’s Coffee Shoppe. A way for
Tim’s Coffee Shoppe to determine the advantages (or weaknesses)
Tim’s has as compared to their competitors is through doing
aCompetitive Profile Matrix (CPM). When you identify Tim’s key
success factors, you can weigh them according to the
strength/weakness as compared to the competitors. You can set any
weight you wish, but a simple one is:
1 – Major weakness
2 – Minor weakness
3 – Minor strength
4 – Major strength
Key success factors can be identified for the business. They can
include things such as the quality, location, brand recognition,
profitability, product, the staff, etc. In the matrix, you will list these
factors and rate the strength of each one in Tim’s business as well as
his primary competitors. See the example below. Each coffee shop was
ranked first, second or third in each of the factors that may or may not
affect their competitive advantage.
Now using competitors researched on the Internet or in your local
area, create a CPM for Tim.
Other factors you may wish to consider include:
Price
Selection