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Change Management Assignment

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1. Identify and explain the Opportunities and Threats of the assigned external forces.
Opportunities
* Cooperation with a number of other national companies. The company, PT Len Industri for the development and production of inverters, battery management system, charging system and DC-DC converter electric cars.

Threat

2. Discuss how a development in a corporation's societal environment can affect the corporation through its task environment.

3. According to Porter, what factors determine the level of competitive intensity in an industry?

Costs
Among his factors that affect competitive intensity, Porter mentions a few cost-related factors. These include high fixed costs, high storage costs and low switching costs. When companies invest significantly in fixed costs, they generally compete mightily to sell enough products to cover those costs. High costs of storage prompt companies to compete to make sales quickly. When customers have free mobility to change providers it forces more intense competitive rivalry.
Many Firms, Flat Market
One of the more obvious reasons for high competitive intensity within an industry is more companies competing. And, the more limited the market available, the more intensely those companies have to compete. Porter noted that especially in industries where the market has been largely saturated, companies realize they must compete intensely for those customers that are in the market. This means current providers work to enhance loyalty and competitors work hard to steal customers.
Differentiation Potential
The level of possible product or service differentiation is another important competitive intensity factor in an industry. The harder it is for companies to differentiate themselves, the more intensely companies have to market and sell and compete to capture customers for their solutions that have similar substitutes. This causes many companies to consider added value opportunities or other ways to entice customers to their business. Porter does indicate that diversity among providers with regard to the makeup of their companies and strategies can lead to more rivalry.
Ability to Leave
The ease with which companies can exit an industry also affects competitive intensity. Porter notes that high barriers, including costs, of exiting an industry ramp up the rivalry. If companies find it more difficult to leave than to stay and compete, they are more likely to make the investment and commitment necessary to optimize their potential within the industry. In industries where exit is simpler, companies may opt out rather than stay the course and fight intensely for business.

http://www.investor.co.id/home/produksi-mesin-mobil-listrik-pindad-investasi-rp-20-miliar/42913
http://smallbusiness.chron.com/determines-level-competitive-intensity-industry-14383.html

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