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Pillars of Financial Success

Five fundamental characteristics of firms that enjoy long-term success

May 25, 2005

This article examines five strategic factors that distinguish successful firms from ordinary ones. Concentrating on these factors creates an environment in which effective operations can deliver high profits. The article includes detailed analysis of two factors - barriers to entry and de-commoditization of the product line.

Unfortunately, there are no silver bullets for producing higher profits in distribution. Instead, success will come from doing a lot of things right over an extended time period. Firms must have a clear strategy, operate efficiently, understand the needs of customers, and engage in a myriad of other activities as effectively as possible.

Even though there are no magic answers, a detailed analysis of the PAR Report and comparisons with other ...

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