Business policy

1) Discuss the ethics of gathering competitive intelligence. Is this ethical, in your opinion?
Answer: Competitive intelligence involves gathering information on a competitor’s strengths,
weakness, opportunities, threats as well as their strategies and tactics to enhance strategic
decision making. The ethics of gathering competitive intelligence depends solely on the methods
that are used to do so. By using ethical means to obtain information by legal means, respecting
privacy, and avoiding any deceptive methods. However, if the methods used include illegal
means, not respecting one’s privacy or being deceitful, it becomes unethical.
In my opinion, it is definitely necessary to be aware of the competitor’s strengths, tactics,
strategies etc., although it can only be called ethical if and when the methods that are used to do
so align with the legal and moral standards.

2) Do you agree with Porter’s view that competitive positioning within an industry is a key
determinant of competitive advantage(s)? Explain your position.
Answer: Yes, I do agree with Porter’s view that competitive positioning within an industry is a
key determinant of competitive advantage(s). Competitive positioning can be referred to as the
distinct qualities that help set a business apart from its competitors in the market. It refers to
factors that allows a company to produce goods of services or both, either better or cheaper than
its rivals. Asserting a competitive positioning is a pivotal factor in gaining a competitive
advantage. To strategically place a business within an industry through adapting cost leadership
or differentiation directly impacts its ability to outperform rivals. Positioning strategies correctly
ultimately aligns a company’s strengths and assures long term success in a highly competitive
market.