Anything that a firm can do well is called a core
competency. Hamel and Prahalad (1990) suggested that a core competency
should meet the following three criteria:
1. customers should benefit.
2. competitors should find it difficult to imitate
3. the core competence can be transferred to many products and markets.
Core Competency Examples
A core competency can be anything that a firm does better than its competitors which helps it gain a competitive advantage. It can be a skill or expertise that the organisation has. For example Microsoft is good at software development and Dyson
are good at innovation. Dyson recently (9th February 2014) announced that they will be investing five million pounds in a laboratory working on domestic robots and robotic vacuum cleaners. For more information click on this link http://www.bbc.co.uk
British supermarket retailer Tesco understands its customers very
well through the use of its Clubcard reward scheme. Tesco will record each Clubcard customers purchases and analyses the information about each customer to plan its marketing activities for