Final answer:
Businesses gain competitive advantage through relentless innovation and cost-efficiency, which can result in above-normal profits. This strategy benefits customers with improved products and employees through potential income increases, overall contributing positively to the national economy.
Step-by-step explanation:
To gain a competitive advantage, businesses strive to outperform competitors by excelling in providing value to their customers. Managers play a crucial role in achieving this through innovation and cost efficiency.
Gregory Lee, the CEO of Samsung, emphasizes the importance of relentless innovation as a cornerstone for gaining a temporary edge in the market, allowing a company to secure above-normal profits before competitors can catch up.
It's crucial for employees to treat their managers as important internal customers, delivering exceptional service and showing resourcefulness.
This professionalism can lead to positive outcomes like increased job satisfaction and further opportunities.
Additionally, competitive markets drive businesses to innovate, either by reducing production costs or creating products that align with consumer needs, resulting in benefits for both consumers and employees of these companies.
From an economic perspective, competitive markets usually entail gains that outweigh the losses. Consumers enjoy better or more affordable products, businesses see an uptick in profits, and employees may receive higher income.
These advantages underscore the importance of businesses consistently seeking new technologies and improvements.