How to understand and identify distinctive competencies

In the context of business strategy, a distinctive competency is an attribute that sets a company apart from its competitors, often being hard to imitate, such as unique marketing strategies, brand recognition, or technological innovations. The article discusses how product managers, while not always responsible for crafting product strategies, can leverage distinctive competencies to gain a competitive edge. It differentiates between core competencies, which are inherent capabilities that may be shared across industries, and distinctive competencies, which are unique and provide significant competitive advantages. Various companies like Apple, Walmart, and Under Armour exemplify how distinctive competencies, such as Apple's marketing, Walmart's low-cost strategy, and Under Armour's focus on professional athletes, can lead to market leadership. The article emphasizes the importance of identifying and nurturing both core and distinctive competencies through strategic analysis, such as SWOT, and continuous feedback from metrics and customer insights to adapt to market changes effectively.