Research Of Enterprise's Competition Advantage Based On Customer's Value And Cost Management

In the society of highly developed knowledge and information, more fierce competition and the diversification of consumers'taste are challenging the companies in the market. Products and service can not satisfy consumers any more, rigid competition strategy limit companies'growing, the advantages of competitive company structure are nearly zero. So, the new customer value theory confirmed to be the core of competition advantage is concerned by contemporary academia, and taken into action by enterprisers. The article is based on the customer value theory, by introducing the cost management theory, combines the cost management and customer value theory to find how to build companies'competition.The article focuses on the customer's value, telling how the customer value increment and cost control affect companies'competition advantage. In the inner value chain, define the value added process to control the cost; in the supply chain, control the cost from logistic, cash flow and information flow and create value. The article study how to build companies'competition advantage on the basis of mutual operation between value chain and supply chain, define how the customer need transfers to customer value through value chain and supply chain, find the customer value criterion and apply it in the companies'production process and operation. Concerning the whole operation process, to reduce cost, increase value, maximize customer's perceive profit and minimize their perceive lost, can finally provide the customer with higher quality and more competitive value and build long term competition advantage.