In today’s competitive and challenging environment industries, management decisions in the field of business competitive advantage depends on many factors that identifying them can help managers to improve decision-making processes. The purpose of this study was to determine the factors that influence management decisions on the application of reduction(leadership) costs, product differentiation, cost focus and differentiation focus strategies in section10(food production) and11(to produce a variety of beverages) in ISIC division in the fourth edition of medium and large companies. The strategy to determine orientation of the management with Multinomial logit regression model is considered. The data of this study, gathered with 94 questionnaires from managers. Descriptive analysis of data from investigated companies shows that strategy of product differentiation with frequency 30% is selective strategy in most companies surveyed. The results suggest that the variables of experience and education of manager, product variety, product market competition and famous brand of a company can have significant impact on election of the strategy. Among the different strategies in order to gain competitive advantage, product differentiation strategy is more capable of competitive advantage, in terms of increasing the competitiveness of firms, there. Variables such as product diversification by a factor of 1/54 percent, Brand by a factor of 0/88 percent and manager education by a factor of 0/78 percent are most likely variables for influencing the differentiation strategy by managers. Therefore, it is suggested that firms in the food industry, with the necessary tools, including the diversification of products and the creation of national and international brands, provide different products according to the market demands.
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