An offensive strategy, if successful, can open up a competitive advantage over
rivals5 How long this process takes depends on the industry 's competitive
characteristics. The buildup period, shown in Figure 5-1, can be short as in service
businesses which need little in the way of equipment and distribution
support to implement a new offensive move. Or the buildup can take much
longer, as in capital intensive and technologically sophisticated industries
where firms may need several years to debug a new technology, bring new
capacity on line, and win consumer acceptance of a new product. Ideally, an
offensive move builds competitive advantage quickly; the longer it takes the
more likely rivals will spot the move, see its potential, and begin responding.
The size of the advantage (indicated on the vertical scale in Figure 5-1) can be
large (as in pharmaceuticals where patents on new drugs produce a substantial
advantage) or small (as in apparel where popular new designs can be imitated
quickly).
Following a successful competitive offensive, there is a benefit period during
which the fruits of competitive advantage can be enjoyed. The length of the
An offensive strategy, if successful, can open up a competitive advantage overrivals5 How long this process takes depends on the industry 's competitivecharacteristics. The buildup period, shown in Figure 5-1, can be short as in servicebusinesses which need little in the way of equipment and distributionsupport to implement a new offensive move. Or the buildup can take muchlonger, as in capital intensive and technologically sophisticated industrieswhere firms may need several years to debug a new technology, bring newcapacity on line, and win consumer acceptance of a new product. Ideally, anoffensive move builds competitive advantage quickly; the longer it takes themore likely rivals will spot the move, see its potential, and begin responding.The size of the advantage (indicated on the vertical scale in Figure 5-1) can belarge (as in pharmaceuticals where patents on new drugs produce a substantialadvantage) or small (as in apparel where popular new designs can be imitatedquickly).Following a successful competitive offensive, there is a benefit period duringwhich the fruits of competitive advantage can be enjoyed. The length of the
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