1. Overview
2. Distinctive Competencies and Competitive Advantage
   1. Strategy, Distinctive Competencies, and Competitive Advantage
      1. Resources
      2. Capabilities
      3. A Critical Distinction
   2. Competitive Advantage, Value Creation, and Profitability
   3. Differentiation and Cost Structure
3. The Value Chain
   1. Primary Activities
      1. Research and Development
      2. Production
      3. Marketing and Sales
      4. Customer Service
   2. Support Activities
      1. Materials Management
      2. Human Resources
      3. Information Systems
      4. Company Infrastructure
4. The Generic Building Blocks of Competitive Advantage
   1. Efficiency
   2. Quality: Reliability and Other Attributes
   3. Innovation
   4. Responsiveness to Customers
5. Analyzing Competitive Advantage and Profitability
6. The Durability of Competitive Advantage
   1. Barriers to Imitation
      1. Imitating Resources
      2. Imitating Capabilities
   2. Capability of Competitors
   3. Industry Dynamism
7. Avoiding Failure and Sustaining Competitive Advantage
   1. Why Companies Fail
      1. Inertia
      2. Prior Strategic Commitments
      3. The Icarus Paradox
   2. Steps to Avoid Failure
      1. Focus on the Building Blocks of Competitive Advantage
      2. Institute Continuous Improvement and Learning
      3. Track Best Industrial Practice and Use Benchmarking
      4. Overcome Inertia
   3. The Role of Luck