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Competitive Advantage of Nations (Macmillan business)
 
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Competitive Advantage of Nations (Macmillan business) (Hardcover)

by Michael E. Porter (Author, Introduction)
4.5 out of 5 stars  See all reviews (2 customer reviews)
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Product details

  • Hardcover: 896 pages
  • Publisher: Palgrave Macmillan; 2nd Revised edition edition (27 April 1998)
  • Language English
  • ISBN-10: 0333736427
  • ISBN-13: 978-0333736425
  • Product Dimensions: 23.4 x 15.6 x 5.6 cm
  • Average Customer Review: 4.5 out of 5 stars  See all reviews (2 customer reviews)
  • Amazon.co.uk Sales Rank: 126,072 in Books (See Bestsellers in Books)

    Popular in this category:

    #8 in  Books > Business, Finance & Law > Reference & Education > Competition
  • See Complete Table of Contents

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Product Description

Review

The author is an undoubted business guru. His books Competitive Strategy (1980) and Competitive Advantage (1985) are standard works. This book is, by any standards, a tour de force. Originally published in 1990, it looks at how organizations operate and compete in the widest context: internationally, globally and in relation to governments and nations. Based on research, as well as the author's experience and observation, it aims to be the definitive work on its broad topic. It is long and it takes some work to absorb the detail and extent of its material, but there are valuable insights to be had from one of the current leaders in such thinking. (Kirkus UK)


Product Description

Michael E. Porter's research for this title identified the fundamental determinants of national competitive advantage in an industry and how they work together to give international advantage. The findings had implications for firms and governments and set the agenda for discussions of global competition. The core ideas of this book remain relevant and this new 1998 edition includes the original text in full with a new introduction by the author, which reviews the key themes and issues of the book in the light of subsequent developments. This title is aimed at managers, consultants, academics, researchers, and policy makers. It is also for students undertaking courses on strategy, international business and related subjects on degrees in business or management, MBA courses, and a wide range of executive and post-experience courses.

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Customer Reviews

2 Reviews
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Average Customer Review
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Most Helpful Customer Reviews

 
6 of 7 people found the following review helpful:
4.0 out of 5 stars a clear and enriching explanation of the famous diamond, 9 Jan 2001
By A Customer
This book certainly stands for one of last decade's most important conributions to thinking about trade. It is the result of Porter's research that attempted to determine why some nations succeed and others fail in international competition. Porter's « diamond » is explained in a clear and comprehensive way. Although it looks like a thick book, it is relatively easy to read for non native English readers. Eventhough many other authors provide a summary of Porter's work, I found it very interesting to read the original work. It makes one better understand the nuances and details often forgotten or omitted by referring authors. The theory is supported by many examples, making it a pleasure to read it. One can feel that the theory and the book are written out of experience and practice. It is not surprising therefore that the principles of The Competitive Advantage of Naitons have been used widely. Even if one could criticize some points of the theory, the book gives the reader an enriching insight in international business and competition.
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7 of 9 people found the following review helpful:
5.0 out of 5 stars Reasons for success and failures of nations, 31 Oct 2002
By Gerard Kroese (The Netherlands) - See all my reviews
(TOP 1000 REVIEWER)    (REAL NAME)   
Michael E. Porter is a Professor of Business Administration at Harvard Business School and a leading authority on competition and strategic management. Porter is the author of the legendary business and management books 'Competitive Strategy' (1980), and 'Competitive Advantage' (1985). I cannot start this review without a word of warning: This book is consists of 850 pages and is thus not a quick weekend-read.

In this book, the author aims to answer the question, "Why do some social groups, economic institutions, and nations advance and prosper? ... I titled the book 'The Competitive Advantage of Nations' to highlight the crucial distinction between my broader concept of competitive advantage as a source of wealth and the nation of comparative advantage which had long dominated thinking about international competition." In order to answer this question, Porter uses his traditional extensive research methods and tools to prove his point.

The book is split up in four parts: (i) foundations; (2) industries; (3) nations; and (4) implications. In Chapter 1 - The Need for a New Paradigm, the author discusses the reasons for his research: "The central question to be answered is why do firms based in particular nations achieve international success in distinct segments and industries? The search is for the decisive characteristics of a nation that allow its firms to create and sustain competitive advantage in particular fields, that is, the competitive advantage of nations."

In Part I - Foundations, the author presents the theoretical frameworks which form the basis for the rest of the book. In Chapters 2, 3 and 4 Porter revisits most of his previous work, such as the five competitive forces, generic strategies, the value chain, and the advantages "diamond". Porter makes an important notion before turning the second part of the book: "The theory can and must be applied at two levels, the industry and the nation."

In Part II - Industries, the frameworks of Part I are applied to explain the histories of four industries (German printing press, American patient monitoring equipment, Italian ceramic tiles, and Japanese robotics). In addition, Porter applies the frameworks to the service sector. This is a sector which Porter has discussed very little in his previous books. "... an increasingly important class of industries where international competition has not been widely studied."

In Part III - Nations, the frameworks of Part I are applied to ten nations. Porter splits these ten nations up in early post-war winners, emerging nations in the 1970s and 1980s, and the traditional business countries (Britain and USA). Thank God, the author discusses both successes and failures within the different countries, plus identifying the reasons behind them. He also advises which steps can be taken to improve national advantage.

In Part IV - Implications, Porter discusses the impact of the frameworks of Part I on company's strategies and government policies. In the final chapter Porter tries to answer the question, "What of the future?" According to Porter "the central economic concern of every nation should be the capacity of its economy to upgrade so that firms achieve more sophisticated competitive advantages and higher productivity. Only in this way can there be a rising standard of living and economic prosperity."

This book is an impressive piece of research and Porter gets assistance from over 30 research assistants from all around the world. The book is not a simple read due to the amount of information provided and the length of the book. For readers who have read Porter's previous masterpieces I would like to stress that this book is considerably different than his previous masterpieces. It focuses less on industries and companies themselves, but more on national, international, and governmental issues. This book shows the author's education and training (Harvard PhD in economics). Still, the book is an impressive piece of work, although not for the fainthearted.

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