Strategic Management and Industry Structure

 Executive Summary
 Industry Profile
1. Industry classification
2. Size & growth
3. Profitability
1. Industry Profitability
2. Complement & family products profitability
3. Factors affect profitability:
3.1. Product segmentation
3.2. Degree of industry concentration
3.3. Ease of entry & exit
3.4. Price factors in key supply input
4. SWOT analysis
 Demand and Supply Analysis
1. Demand
1. Customer study
1.1. Age/Sex/Geographical allocation
1.2. Occupation/Income/Lifestyles
1.3. User type and usage
1.4. Brand loyalty and price elasticity
2. Growth
3. Trends & cyclical variations
2. Supply
1. Available capacity
2. Expected demand
3. Capacity utilization
4. Degree of concentration
5. Ease of entry & exit
3. Profitability
1. Demand/Supply analysis
2. Cost factors
3. Pricing
 Porter’s Five Forces
1. Entry barrier
1. Entry & exit spectrum
2. Economy of scale/scope and experience curve
3. Capital intensity
4. Vertical power
5. Externalities barriers
2. Threat of substitute
1. Buyer tendency to change
2. Price elasticity and switching cost
3. Threats of Blue-Ocean strategies
3. Rivalry
1. Market structure and industry concentration
2. Product differentiation
3. Diversity of opponents
4. Tradition of strategic responses
5. Ease of entry & exit
4. Buyer Power
1. Scale and scope of buyer
2. Price sensitivity and switching cost
3. Buyer’s ability of backward integration
4. Cost structure of buyer
5. Buyer’s industry structure
5. Supplier Power
1. Scale and scope of supplier
2. Supplier’s ability of forward integration
3. Supplier’s industry structure
 Industry Characteristics
1. Market structure and movements
1. Industry structure spectrum
1.1. Matrix of:
1.1.1. Perfect competition/Monopolistic/Oligopoly/Duopoly/Monopoly/Monopsony
1.1.2. Concentration/Entry & Exit/Differentiation/Asymmetry Information
2. Movements of industry structure factors
2. Industry life cycle
3. Product life cycle
