Philippine E-Journals

Knowledge of competitive advantage and practice of competitive strategy of the SUCs Administrators in Metro Manila

Dennis C. Ligan | Allan B. De Guzman | Emmanuel J. Lopez

Discipline: Business

 

Abstract:

Background: A well planned competitive strategy would spell success for an organization that implements it. The SUCs competitive strategy is vital to their existence in providing affordable quality education to deserving students. While there are a number of studies on competitive advantage in companies there are few empirical research studies on its application and use in the education sector. Purpose: This paper aims to establish some preliminary data on the knowledge and practice of competitive strategies that SUCs in Metro Manila adopt to stay competitive. Method: A total of 250 administrators from 7 SUCs were asked to accomplish an 8-point Likert scale researcher-made instrument (Cronbach α = 91.1%). Data yielded by the instrument was treated statistically using exploratory factor analysis while Euclidean distance between cases and Ward’s method was used in cluster analysis. Results: Interestingly, six knowledge dimensions, namely: competitive strategies, vision and mission, SWOT analysis, efficiency, Balanced Scorecard and strategic planning and profitability were surfaced. Cluster analysis surfaced five types of administrators, namely: idealist, balanced, centrist, purist and visionaries. The SUCs mainly employ differentiation and cost strategy with the aid of SWOT analysis. They have well-defined mission, a clear-cut vision and a strategic plan to achieve their long and short term goals. Majority of the respondents believed their institution has good reputation with efficient processes, motivated employees and satisfied students. Conclusion: The study revealed that there is no common competitive business strategy among the SUCs. Differentiation emerged as the most prevalent strategy while Balanced Scorecard is not being fully utilized. Impliedly, there is need to develop a strategy that will provide competitive advantage to SUCs in the country.