By core business, we mean all areas in a company that contribute to value and help align products and/or services with customers.
Brief description
Focusing an enterprise on its core business brings a reduction of activity to the most important activity. This allows the enterprise to carry out activities that serve to directly achieve the enterprise's goals. These competencies include, first and foremost, the enterprise's skills, which:
They are difficult for competitors to imitate,
Support long-term customer benefits,
Secure long-term competitiveness
As well as influence the identity of the company.
The discussion of core business most often stands in relation to outsourcing. Tough market conditions, globalization and cost pressures are just a few reasons for the phenomenon that companies are increasingly focusing on core business, and outsourcing areas of business that are not profitable to external, specialized companies (outsourcing).
