New Entry | Rivalry | Suppliers | Buyers | Substitutes | High/Mod/Low | High/Mod/Low | High/Mod/Low | High/Mod/Low | High/Mod/Low | Barriers to entry (reverse) - Are Economies of Scale an important part of this industry?(Y/N) - Do incumbent firms possess substantial brand identification and customer loyalty that potential entrants do not? (Y/N) - Are there significant cost advantages independent of scale in this industry (Table 2.2)? (Y/N) - Do governments regulate this industry? (Y/N)Yes answers
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had the most influence on the conclusion? Force | Description | Strong/weak & impact | Rivalry | McDonald’s, Burger King, KFC, Wendy’s | Strong. Huge price competition；low profit margin | New Entrants | There are high barriers to entry: it is hard to compete with well-known brand like McDonald’s and KFC due to customer loyalty. The cost to start a restaurant is also high. Government regulation is another barrier. | Weak. Keep companies focus on
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online products that range from simple email services to complex cloud computing and high video streaming technology via “YouTube”. To be successful google not only needs to stay ahead of the market but also protect its brand through high barriers to entry. Google was previously much engaged on the development of BCG which was interlinked with their creativity, this later resulted in google being good at maintaining a creative level but not innovative enough. They were more focused in categorizing their
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clothing stores industry? The competition of rivals in the U.S. family industry is strong because the competitors are numerous, buyer demand is growing slowly, and the rivals face high exit barriers. The threat of new entrants is weak because the entry barriers are high and the industry outlook is risky and uncertain. The threat of substitute products is strong because good substitutes are readily available, substitutes have comparable or better performance features, and buyers have low costs in
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becoming saturated so in order to gain a competitive advantage they have to differentiate themselves from others in the industry. Earnings and sales are much slower in industries that are mature than those industries that are emerging. The barriers to entry are very low for the pizza industry, anyone can open up a pizza place which will create a new competitor. Individuals have a lot of choices when it comes to eating out so in order to grow exponentially something needs to set them apart from others
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demand for these products and create food crisis in some countries 3. What are the flaws in the current business strategy? • Not Defensible Intellectual Property is not defensible No relevant patents Low barrier to entry • Model Business is difficult to manage as each member is independent business making its own decision and can leave business at any time Existing business can compete at any time 4. What type of financing should they use if they choose to
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COMPETITORS Based on research done, our major competitor in the fuel-based car market will be the Nissan Qashqai as it’s arguably one of the top selling crossover cars in the UK. The Nissan Qashqai is the finest small SUV on the market. It is economical, classy inside and extremely refined. It's also one of the most practical small SUVs no wonder its sales figures are really high compared to others in the market. It's also bagged the 2014 Car of the Year award. Despite all these its weaknesses
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operates? To arrive at an answer you should discuss (a) the number of competitors, (b) product similarity, (c) barriers to entry, and (d) the importance of non-price competition. (Be sure to define the geographic nature of the market. Is the market best described as local, national, or international?) How much pricing power does the firm have? Are economies of scale a barrier to entry in this industry? 6 Calculate the company’s sales
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+ analysis: Opportunities & Threats 8 B. Qualitative Analysis n Porter’s n 5-Forces The collective strength of the 5-forces determines the profit potential of an industry .. Or industry attractiveness - Time and cost of entry - Specialized knowledge - Technology protection - Brand identity - Switching costs - Number and size - Uniqueness - Switching cost - Substitute inputs - Substitute performance - Switching cost - Industry growth - Number of competitors
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Answer 1). Many IT managers focus solely on mastering new tech skills to increase their value to their employers -- a strategy that makes perfect sense, but only up to a point. Once a manager reaches that point, he is viewed as only technically proficient and being perceived as unskilled in business planning and learning how to communicate and collaborate well with customers, coworkers, and service providers. Having a balance of these "hard" technology skills and "soft" business and people skills
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