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The purpose of this study is to show how important the process of defining strategy can be for a company in the economical context that we all face now days. This study shows that although the results after a company has defined its strategy can be seen in a longer or shorter period of time, the process is complex and needs managers that can foresee the future. And at the end of every strategy defining the final result should be competitive advantage, this competitive advantage that can bring a company in front of its main competitors, and if the company manages to stay in front of those competitors it can gain sustainable competitive advantage. In fact this should be the goal of every company: to try by all means, off course legal means, to do things better than other companies using the right strategy. Companies can use their capabilities and knowledge in these fields, a constant innovation process can help the society to undergo powerful changes. These changes can be firstly seen in the mentality, the behaviour and the process of knowledge. It is important for a company to understand its role in the modern society. Managers of important companies do their best to keep those respective companies at a level that can secure profit, but profit is not always the entire issue. It takes time in order for those innovations to reach the whole society, because companies are not willing to give information about their products, and keep this information to be able to have future profit. The role of competitive advantage can be seen in any field of activity, it provides the values that keep our society moving forward. Competitive advantage is needed in fields like: medicine, education or environmental protection. Companies have to innovate constantly in order to obtain this competitive advantage, but this competitive advantage can be present today and gone tomorrow, because the conditions on the market are changing at a very fast rate.In the past years the economical context has shown us that many companies weren’t able to face the economical crisis, and one reason was that they didn’t have a well planed strategy from the start. Of course the process of preparing a good strategy should not occur in difficult moments, it is necessary that it should be stated long before such times, because in difficult times it is very hard to find a suitable solution regarding the context and how quickly things change..