Examples of Table-Stakes Capabilities
For every industry, as we noted in chapter 5, there are table-stakes capabilities. Also called competitive necessities, these are the capabilities that every company has to develop, simply to remain current in its industry. They vary from one industry to the next, but they are found in every company within a sector.
Other capabilities are distinctive: difficult for others to copy, and providing competitive advantage. These become the elements of a differentiating capabilities system: the group of three to six mutually reinforcing capabilities that support a company’s value proposition in a way that is difficult for other companies to copy or match.
In this appendix, for three industries, we show ...