Core competency





A company's core competency is the one thing that it can do better than its
competitors. A core competency can be anything from product development to
employee dedication.

If a core competency yields a long term advantage to the company, it is said
to be a sustainable competitive advantage.

An Example

For example, Black and Decker's core technological competency is in
one-quarter to three-quarter horsepower electric motors. All of their
products are modifications of this basic technology (with the exception of
their work benches, flash lights, battery charging systems, toaster ovens,
and coffee percolators).

They produce products for three markets;

   * 1 - the home workshop market - In the home workshop market, small
     electric motors are used to produce drills, circular saws, sanders,
     routers, rotary tools, polishers, and drivers.
   * 2 - the home cleaning and maintenance market - In the home cleaning and
     maintenance market, small electric motors are used to produce dust
     busters, vacuum cleaners, hedge trimmers, edge trimmers, lawn mowers,
     leaf blowers, and pressure sprayers.
   * 3 - kitchen appliance market. In the kitchen appliance market, small
     electric motors are used to produce can openers, food processors,
     blenders, bread makers, and fans.