Treacy and Wiersema (1995) Argue That There Are Three Generic

question 8

Short Answer

Treacy and Wiersema (1995) argue that there are three generic competitive advantages: Operational Excellence, Product Leadership and Customer Intimacy.They name these three 'value disciplines'.What is the most important stream of criticism on this way of thinking, like that expressed by Baden-Fuller and Stopford (1992)?
A.Operational excellence can never be a source of competitive advantage
B.Product leadership can only be achieved by one company in an industry
C.Companies can achieve two or three of these disciplines
D.There is an endless variety of competitive advantages.

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Definitions:

Indirect Method

A way of preparing the cash flow statement where net income is adjusted for changes in balance sheet items to arrive at cash flow from operating activities.

Cash Dividends

Payments made by a company out of its profits to its shareholders in the form of cash.

Comparative Balance Sheet

A financial statement that presents a company's assets, liabilities, and shareholders' equity at two different points in time to analyze financial health and trends.

Net Income

The company's final financial gain once every expense, tax, and cost is subtracted from the gross income.