1. Business level strategy should base on Distinctive Capabilities of the Firm.

Justify your answer with examples from Service sector Business level Strategies are used to be Competitive in the market. Mainly three strategies are used and to name those are Cost leadership, differentiation and Focused strategy. In a broad market we used Cost leadership and Differentiation and in narrow market we use focused .Some organizations implement those to give value to the customer. An organizations resources which are critical in imparting it with competitive advantage are called distinctive capabilities. When the capabilities originate from an attribute which other firms do not have then they form an organizations distinctive capabilities. In addition to having a distinctive characteristic it should also be sustainable and appropriable. An organization can derive the distinctive capabilities mainly the organizational architecture, organization reputation and innovation. Distinctive capabilities have 4 charastistics. To name, Valuable, rare, costly to implement and no Substitutes. By evaluating the organization internal and external environmental, Organization should implement their business strategy base on the distinctive capabilities to get competitive advantage. Any organization who does not give priority to their Distinctive capabilities will fail in their strategy. As an example we can take Dialog Telecom where their Distinctive capability is their well equip management and they always give priority to that when they implement their business strategy. By; Ravi Kumudesh
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