Final answer:
Competitive advantage refers to a company's ability to outperform competitors, and it can be achieved through various factors such as cost, quality, service, and innovation.
Step-by-step explanation:
Competitive advantage is the ability of a company to outperform its competitors by doing something exceptionally well. It means being better than others in terms of quality, cost, service, or innovation. For example, a company may have a competitive advantage in cost if it can produce goods or services at a lower cost than its competitors, allowing it to offer lower prices to customers and attract more sales. Similarly, a company may have a competitive advantage in innovation if it can consistently develop new and improved products that meet customer needs better than competitors.