4 Stages of Hypercompetition

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4 Stages of Hypercompetition
D'Aveni argues sustainable competitive advantage is not really possible. He shows a mechanism that causes faster and faster erosion of competitive positions. D'Aveni's four stages of hypercompetition:
1) Advantage based on differentiation (quality) > gets eroded and price wars begin;
2) Advantage based on raising barriers to entry > gets eroded by outflanking and niching by more flexible competitors;
3) Advantage based on know-how > eventually gets eroded as technology moves on (Schumpeter);
4) Advantage based on deep pockets (mergers, acquisitions, market power) > eventually fails as pockets get emptied in the attempt to fend off aggressive competition.

competition is good. Kill the weak, eat the slow, and may the best idea and execution win. it got us from horse and buggy to Prius. from Kitty Hawk ...

Strategically choosing the right competitive advantage for your firm and mixing it with your integrated marketing communication will do wonders for yo...



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