- Tidbits -
The Seven Powers’ listing in the graphic is awesome. The selected titans have achieved market dominance and are hard to dethrone.
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We must thank Kasper Karlson, content marketing specialist at Quartr, for updating one of business schools’ most enduring ideas - Hamilton Helmer's "Seven Powers".
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Selections of business titans, virtually all with global reaches, fit aptly among the seven competitive advantages – considered by many businesses, investors and consultants as the foundations of business strategy.
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Helmer, a business school professor at Stanford University, came out with the concept back in 2016. Quartr updated the company selections just a few months ago. Quartr is a financial research and investor relations platform based out of Stockholm, Sweden.
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From SMEs, start-ups to established businesses – all are in search for long-term success from cornering one of the seven advantages.
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The "Seven Powers" framework is strategic. They are:
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Scale Economies: Cost advantages from a scale of operation.
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Network Economies: Benefits that arise as the value of a product or service increases as more people use it.
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Counter-Positioning: When a new competitor adopts a different business model that the incumbent business finds hard to replicate.
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Switching Costs: Costs that a customer incurs as a result of changing from one supplier to another, creating customer stickiness.
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Branding: A business that is able to set price premium due to strength of the brand.
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Cornered Resource: Exclusive control over a valuable resource.
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Process Power: Superior processes with a competitive advantage that is difficult for others to copy.
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If there is something else to add, it would definitely be “innovation” as all of them are relentless innovative.
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Read how Karlson updates the sample selections at: https://quartr.com/insights/investing/diving-deep-into-helmers-7-powers-using-company-examples
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