Ability Quote by Michael Porter
“Competitiveness is defined as the ability of companies to compete while maintaining or improving the average standard of living. If you are cutting wages to become more competitive, that's not really more competitive. It's raising the skill and the efficiency of those workers so that they can support and sustain that higher wage.”
About This Quote
Source Book: Competitive Advantage, 1985
True competitiveness improves productivity without harming workers' standards of living; cutting wages is not genuine competition.
In simple terms: Competitiveness should raise wages, not cut them.
Key Takeaway
Raise skill and efficiency to support higher wages.
Themes
economics
business strategy
labor markets
Mood
analytical
critical
pragmatic
Type
business
economic
When to use this quote
- corporate policy
- government regulation
Key Concepts
productivity
skill development
wage growth
Questions to Reflect On
- How can companies increase wages sustainably?
- What policies encourage skill growth?
A Different Perspective
Higher wages require higher productivity, not lower costs.
