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Seminar paper from the year 2004 in the subject Business economics - Offline Marketing and Online Marketing, grade: 1,3 (A), Växjö University (Centre of Competitiveness), course: International Marketing Strategy, language: English, abstract: Staying one step ahead of competition requires a sufficient short and long term strategy. To formulate these strategies it is of great importance to analyse the inner competence of a firm. For the last decades several researchers have been developing different approaches to determine idiosyncratic factors generating sustainable competitive advantage (SCA) by a value creating strategy.In the analytical discussion we have developed our own model by considering the existing approaches and adding some new important factors as driver and forces of SCA. Thus, the model is applied to Peugeot to show its feasibility. The model shows the synergy through the collective learning between the internal factors: resources, capabilities, competences, core competence; and the external factors: customer relationship, competitors and stresses the importance of interaction between these factors to shape the SCA of a firm placed in a highly competitive market.