Strategic Planning in the Small Business

Unit 2
HO 2-6 (continued)

objective

analysis, and why the owner must be open and aware

and ready

to accept and respond to the outcomes of the anal­

ysis. Indeed, one or

two key areas of competitive weakness can,

if unrealized and unattended to, destroy

the base of strength

derived from a series of distinctive competencies.

Since few

businesses are the

best at everything, the identification of com­

petitive weaknesses is not a sign of failure.

Instead, the iden­

tification

signals the firm that there are factors to be dealt with

in its development of goals and strategy for

competitive action.

DISCUSSION QUESTIONS

1. How can distinctive rompetencies
   be identified?


2. Can distinctive
   compeLtncies really be developed as part of

a strategy

or are the) simply something a firm has or doesn't

have?

3. How necessary is
   it for a firm to develop a particular dis­

tinctive

competence?

4. Pick a company
   about which you are familiar. Does it have

distinctive

competencies? How does or should the firm ex­

ploit them?

5. What kinds of competencies might we expect
   in the follow­

ing firms:

a.

a shoe store

b.  a grocery

store

c.  a pet shop

d.  a heating and air conditioning firm

e.  a computer repair business

Chapter Three Recognizing DistinctiveCompetencies and Competitive

Weaknesses 97

239