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Competitve Enviroment

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Submitted By clintontylr
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Competitive Environment
Clinton Taylor
Mkt/562
March 14, 2011
Jeffrey Buck

Competitive Environment
A common word known and used when conducting business throughout the world is the word Strategy. This word is carefully thought about and used properly while looking at a company’s worth internally and externally. The best strategies are when a company can do this and give proper energy and evaluation of the external and internal environment of the company. The strategies are created by gifted strategist that use their out of the box thinking to achieve an objective or goal which allows its business a chance to compete in its specific industry (Sooperturtorials.com, 2009). Porter’s five forces model of competitive analysis is very popular and widely used for developing many ideas and strategies across many industries.
The intensity of competition varies across industry. The intensity of competition is likely to be higher in low return industries as compared to high return industries due to the fewer requirements of capital and common products that require minimum R & D and efforts for production. In the category of business technology involving personal and business, computers have become a commodity and Dell Computer Corporation has evolved with the growing market. The competition is fierce in this sector and margins can be low. The lower end computers with high-speed internet capabilities have become the main selling force. As dial up internet continually proceeds to fade away and the consumers’ needs to upgrade their computers grow, the need to satisfy the consumers demand for high-speed internet will increase as well. Competition in peripherals is also very intense. New peripheral entrants will drive the margin down even further and create more competitiveness in the industry. In the mind of Porter, the ideal nature of competitiveness in a

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