Impact of Porter’s Generic Competitive Strategies on the Competitive Advantage in Investment

The ever shifting competitive business environment stance main challenges to investment companies and particularly banking sectors like any other business in Kurdistan region of Iraq and business managers have been struggling to compete positively. Porter proved that greater competitive advantage can be attained by implementing a competitive generic Strategy. This study is to find out the impact of Porter’s generic strategies on competitive advantage in investment industries and particularly in banking sectors. Also to find out which strategy is better than other to win competitive advantage in investment industries? A Qualitative method used in this study to analyze data. A random sampling method used to gather data from private banks in Erbil city. The population of this study was approximately 210 units and the sample size of this study was 128 units. The researcher developed three research hypothesis, according to multiple regression analysis the researcher found out the cost leadership has significantly predicted competitive advantage (Beta is weight 0.708, p<.001) this indicates that cost leadership strategy will have a direct positive impact on competitive advantage based on this results the first hypotheses was supported. In terms of second research hypothesis, differentiation strategy has significantly predicted competitive advantage (Beta is weight 0.180, p<.001) this indicates that differentiation strategy will have a weak positive impact on competitive advantage based on this results the second hypotheses was supported, and in terms of third research hypothesis, focus strategy has significantly predicted competitive advantage (Beta is weight 0.102, p<.001) this indicates that focus strategy will have a weak positive impact on competitive advantage based on this results the third hypotheses was supported.