The concept of core competency was introduced by Prahalad and Hamel, referring to a company's key abilities or strengths that provide a competitive advantage. To be considered a core competency, the ability must be difficult for competitors to imitate, improve the company's position, and be applicable throughout the organization. Core competencies are unique expertise that create customer value and can be leveraged in new markets.

3. Made By:
Arjit Sharma

4. • The concept of core competency was first introduced by C.K.
Prahalad and Gary Hamel.
• It is the key abilities or strengths that a company has developed that
give it a competitive advantage over its peers and contribute to its
long-term success.
• The word “core” doesn’t denote singularity: a business may have
more than one core competency.

5. Competitor Differentiation (Imitate)
Customer Value
Application of competencies to other
markets
Note: If above all 3 conditions are met, company can
regard its competence as core competency

6. Competency is unique and is difficult for
competitors to imitate
The company has to keep on improving
such skills in order to sustain its
competitive advantage

7. When purchasing a product or service, it
has to deliver a fundamental benefit to the
end customer
The service or product has to have real
impact on the customer as the reason to
chose them
If customer has chosen the company
without this impact, then competency is not
a core competency and will not affect
Company’s market position

8. Core Competency must be applicable to
the whole organisation it cannot be only
one particular skill or specified area of
expertise. Thus a core competence is a
unique set of skills and expertise which will
be used throughout the org. to open up
Potential markets to be exploited

9.  Uniqueness
 Customer Loyalty
 Expertise
 Brand Recognition
 Value for money

11. Adaptation or Rigidity
Differentiation
Outsourcing
Limitation of resources
Narrow mind approach

13. Book by -Azhar Kazmi
Economic Times
Value.ai