A search for Sustainable Competitive Advantage Factors in a Hyper-Competition Scenario

In a highly competitive hyper-competition scenario, it is challenging to gain a sustainable competitive advantage. It is said that it is important to continuously create a temporary competitive advantage by taking an aggressive competitive action after losing a competitive advantage. This research aims to clarify the factors of how a company can sustain high profits in a hyper-competitive situation. While the current research on competitive strategy theory is based on the premise of the competitive advantage possessed by one company s products and services, this research adopted a multi-company network approach based on the SCP theory of economics. The case of Hill’s Japan was analyzed using the value network concept, and the research method was based on primary data collected through interviews. The analysis found that the value network established by Hill’s Japan was linked by strong relationships of trust among its members and that the network made it difficult for competitors to enter the market at the same time as Hill’s Japan, thereby acting as a barrier to entry. This study presents the concept of the trust-type value network as a factor of sustainable competition in the hyper-competition age.