The relevance of the research is caused by the strengthening of competition within the global educational services market. To maintain high competitive position in modern conditions of digitalization and globalization of the market the universities are constantly forced to improve their educational, researching and innovative activities. At the state level educational policy should be targeted on creating competitive advantages of national higher education system. The authors identify the term “competitive advantages” as a set of properties, which allow universities: to perform their basic functions fully; to act as an effective component of the economic system and a real factor in the socioeconomic development of the country; to compete at different global educational market levels. In the article functional and structural competitive advantages of higher education system are analyzed. The authors made attempt to apply the M. Porter’s approach of five market competitive forces in case of global educational system. Within the conducted research were stated that balanced government regulation is required for development of 1) effective strategies of increasing competitiveness of the national higher education system, and 2) effective tools for identification of universities competitive advantages. The authors suggested an algorithm for managing the competitiveness of the national higher education system. In the conclusions, the authors formulate proposals for strategic vectors of formation of competitive advantages of universities and the higher education system in general, taking into account the current challenges of the digital economy.