Profit from the Core
Profit from the Core - Highlights
We are conditioned to focus on weaknesses first. Paradoxically, the most successful businesses or parts of businesses are the ones most likely to be operating furthest below their potential. Companies that know and focus on their core strengths become the growth companies. A firm's core business are those products, business models, assets and competencies that give the company the greatest competitive advantage.
Areas of Focus
To compete, companies need to identify and build their core business. They must determine how they will differentiate themselves. Alamo, Avis and Enterprise are all in the car rental business. They each try to distinguish themselves. Alamo focuses on the leisure market. Avis concentrates on airport rentals, and Enterprise rents to those needing replacement vehicles.
A key to identifying you company’s core is to define your most successful products, market focuses, business models, channels, and differentiating competencies. The next steps include finding how you can build upon and lead in your market niche.