Competitive Advantage

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One of the important thing to look out for in a good company is competitive advantage. When a company has a competitive advantage, it simply means that it has some edge over its competitor. And when they managed to turn this edge into a monopoly, this is when its stock price will surge. However, do take note that monopolism is under a tight control in Singapore. Recent news has been revealed that there will be some competition in the electricity industry with new players in the market to compete with Singapore Power.

One good example is Iphone. We all know before the launch that IPhone will be a hits among consumers with its sleek design and especially with the Apple logo on it. What is more interesting was that Apple had a deal granting the US telecom operator AT&T exclusive rights in the United States for the iPhone, which can be used to surf the Internet and play music and videos. This is the kind of competitive edge AT&T has over its rivals.

Hence, you can see that their stock price rise significantly over the past 1 year.


 
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