Core competencies allow an individual or business to stand out from the crowd. Some might call this the company’s secret ingredient or edge. Developing core competencies can take time. Sometimes, through years of trying different things, a company discovers what it is best at. For example, it is able to produce a product at a higher quality and more efficiently than its competitors. Its operational efficiency is a core competency. Core competencies are made up of several components, including people, physical assets, patents, brand equity, and capital.
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