Question

The outline, ideas and main ideas of the topic that i agree competitive advantage is not as important for not-for-profit organizations as it is for for-profit organizations

Answer 1

Not for profit organization are essentially the organisations which are focused with not profit extraction through business and policies ( as the name suggests) but focuses on the development of the idea or initiative which the organisation supports. Basically these are the organisations focused on socially important issues in the community and not on the economical upliftment of the company as a whole. For instance a non profit organization working in favour of women rights will persue the objective by dedicating the profitable activities in favour of this objective along with enough funds dedicated for the company to compensate it's staff.

On the other hand profit based organisation are focused with the growth especially economic growth of the company, which is majorly done with yeh focus of extracting maximum profits out of the activities carried out by them. Every small shop working in neighborhood to every big business Ventures , are all for profit organizations.

Competitive advantage is something which is gained in the business with factors like product differentiation , economy of scale , capturing market etc. These advantages works in favour of the company to extract maximum profits in the market.

As suggested in above discussion between profit and non profit organization, competition advantages are the focus for profit organization because of the lead it gives in business and unables any venture to compete and survive in the competitive market be it small scale or large scale . Competitive advantages doesn't favour the non profit organization as much , because the core of the functioning of these companies is nothing but the moral objective they strive to protect. Although competitive advantage can make the survival for such companies much easier , but the Economics for such companies are not designed to focus on such factors. But for profit organization could use such advantages in their favour.