Competitive advantage is defined as superior performance that results from sustainably higher prices, lower costs or both. This means companies must make decisions that shift relative prices or relative costs in their favor.
The word decide comes from the Latin root word cis, which means to ‘cut’ or ‘kill.’ Strategic decision-making is often about ‘cutting off’ all possibilities except for one; if you are decisive, you ‘kill’ all other options.
At HCG, we sometimes help our clients kill all other options, except for the right one. The right one will depend on context and may involve staking out new white spaces, revitalizing old trails, exiting businesses, consolidation, slow continuous improvement or doing nothing.