Every successful business needs to understand Strategy or it will cease to exist.   

There are two critical aspects to understanding Business-level Strategy. 

1. Understanding how to achieve more revenue from business operations and

2. How to survive competition from rivals in the same industry.   

Competitive Advantage theory focuses on (2), how to survive competition from rivals.   Once the industry is defined, there are two ways to achieve competitive advantage: (a) cost effective production of goods or services and (b) differentiation from other rivals in the industry. 

Whilst (a) is a cost analysis based on generating similar products to industry rivals (b) considers what is different compared to them.   Both (a) and (b) are analysed using available information and data to establish the current business-level strategy in operation and how it compares to those of rivals.  Overlaid on cost and differentiation analysis is a comparison of the scope of the market sought; either a wide or narrow focus. 

This analysis requires a range of technical and commercial skills and contributes to determining the strategic position and ongoing viability of the business as it seeks sustainable competitive advantage.  Through this study recommendations on an updated business strategy can be proposed, one that is consistent with both corporate and functional level strategies.