The "trick" to building a sustainable competitive advantage is to continually innovate in order to do the right thing for the right market. If your target market wants a comparable product at a lower price, focus your product on keeping costs low. If your target market is willing to pay more for a better product, focus on creating new and unique benefits at a competitive price.
To build your brand and competitive advantages, try following these steps ...
- Take your core competencies, capabilities, and available resources ...
- Add innovative products and services, operational efficiencies, high level of quality, strong customer relations, and favorable supply-chain relationships ...
- Add product and service differentiation through either superior benefits or lower price ...
- And the result should be a distinct competitive advantage upon which you can build your brand reputation.
Next, see: Competitive Advantage