Innovative Component of Business Model as a Source of Competitive Advantage: the Case of Fashion Retail Industry

Student: Kozel Olga

Educational Programme: Strategic Management and Corporate Governance (Master)

Year of Graduation: 2018

This article investigates the impact of innovative aspects of business model on the firm’s competitiveness and formation of competitive advantage. The issue of creating and sustaining competitive advantage appears to be vital for all firms under competition, particularly with increasing markets saturation and pace of technological advance. Apparel retail industry in Russia was selected as an example. For the purpose of the research first innovative business model was defined, then several major theories of competitive advantage were analyzed. Based on this evidence the author suggests a methodology for quantitative valuation of competitive advantage and applies it on domestic and foreign actors in Russian apparel retail market to reveal the effect of innovative business model on firms competitiveness.

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