question archive PORTER'S DRIVERS OF NATIONAL COMPETITIVE ADVANTAGE Michael Porter developed a model that helps identify countries or geographical regions where conditions support its competitiveness globally in a specific industry

PORTER'S DRIVERS OF NATIONAL COMPETITIVE ADVANTAGE Michael Porter developed a model that helps identify countries or geographical regions where conditions support its competitiveness globally in a specific industry

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PORTER'S DRIVERS OF NATIONAL COMPETITIVE ADVANTAGE

Michael Porter developed a model that helps identify countries or geographical regions where conditions support its competitiveness globally in a specific industry. As an example, France has historically been a world leader in wine; Italy historically a world leader in shoes; and India currently is a world leader in software development, Each country's leadership was due to strong supporting conditions in the four key factors that Porter identified as critical to regional competitive success.

Porter's Model identifies four factors that, working together, can result in a regional or world competitive advantage: 1. FACTOR CONDITIONS (skilled labor, land, capital, technology, know-how, and infrastructure); 2. Local DEMAND CONDITIONS (strong local demand with sophisticated and demanding customers); 3. RELATED AND SUPPORTING INDUSTRIES (the extent to which companies' domestic suppliers and other complementary industries are developed and helpful.); 4. RIVALRY, STRATEGY, AND STRUCTURE OF DOMESTIC COMPETITORS (refers to how challenging it is to survive domestic competition-strong competition makes the industry stronger).

In the United States, Silicon Valley in Northern California has been competitive globally to develop many of today's advanced technologies. Apple, Google, Facebook, Intel, H.P., and Oracle are a few of the many successful technology companies in Silicon Valley.

Analyze each of the four key factors or conditions (Factor Conditions; Local Demand Conditions; Related and Supporting Industries; and Rivalry, Strategy, and Structure of Domestic Competitors) that support Silicon Valley, the U.S. as a global leader in technology development. Give specifics for each of the four factors. The analysis should answer the question: 'why has Silicon Valley in the U.S. been a dominant world leader in technology development?"

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