Page 181 - Business Plans that Work A Guide for Small Business

170 • Business Plans that Work

II. Competitive Advantages

Higher Potential Lower Potential
Fixed and variable costs Highest >>>>>>>>>>>>>>>> lowest
Degree of control Stronger >>>>>>>>>>>>>>>> weaker
Prices and cost
Channels of supply and
distribution
Barriers to entry Strong >>>>>>>>>>>>>>>>> none
Proprietary advantage
Lead time advantage (product,
technology, people, resources,
location)
Service chain
Contractual advantage
Contacts and networks
Overall potential
1. Costs Higher _____________avg______________ lower
2. Channel Higher _____________avg______________ lower
3. Barriers to entry Higher _____________avg______________ lower
4. Timing Higher _____________avg______________ lower