Rivalry Unlike what one would expect‚ KFC has little rivalry with similar fast-food chains in China. The primary reason is that their core products are different‚ as in they sell different kinds of fast-foods with very different tastes and styles. For example‚ if KFC raised its price for chicken by a small amount‚ Chinese chicken lovers who may not be as accepting to pizzas (many Chinese people strongly dislike the taste of cheese) are not going to switch to Pizza Hut just because the price
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Industrial Analysis The Plastic Pipe Manufacturing Industry Prepared by Lau Yee Leong‚ Mike Master of Management‚ Taylors University Lakeside Contents No. | Description | Page Number | | | | 1.0 | Market Assessment | 3 | | | | 2.0 | Internal Rivalry | 4 | | | | 3.0 | Barriers to Entry | 5 | | | | 4.0 | Supplier Power | 6 | | | | 5.0 | Buyer Power | 7 | | | | 6.0 | Substitutes | 9 | | | | 7.0 | Conclusion | 10 | | | | 8.0 | List
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Analyze Industry Structure In the analysis of the structure of the industry‚ competitive forces in industry analysis can be developed such as: 1. Threat of new entrants. In every industry there are problems for companies to face such as the entry of new competitor in the same industry. This is because it can lessen the market share of the company. These new companies use different approaches to attract the customers like they might offer cheap rates as compared to the well reputed brands for the
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BHS0027: Strategic Management Hong Kong 2013/14 Written Individual report Task Using Porter’s Generis Strategies model‚ critically analyse IKEA’s competitive strategy. You must also recommend a course of action or direction that the organisation should take. Use the case study as a starting point and source relevant company information from their web site and other suitable sources. Style: report Word limit: 2500 words Deadline: 19 August 2013 Approximate weighting of marks and suggested structure:
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1. Discuss Porter’s Five Forces of industry competition‚ with relation to the entry of Southwest Airline in the airline market. The Porter’s Five Forces are as followed: Rivalry: The rivalry factors that could influence Southwest include high fixed costs‚ excess capacity‚ low differentiation‚ and price war. Fixed costs in the industry mean the costs of planes‚ fuel‚ pilots‚ flight attendants‚ and additional staff for luggage and customer service. All of these factors need to meet governmental
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INTRODUCTION A framework for diagnosing industry structure‚ built around five competitive forces that erode long-term industry average profitability. The industry structure framework can be applied at the level of the industry‚ the strategic group (or group of firms with similar strategies) or even the individual firm. Its ultimate function is to explain the sustainability of profits against bargaining and against direct and indirect competition. IN RESPECT TO THE INFLUENCE OF GOVERNMENT: Laws
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PESTEL ANALYSIS POLITICAL FACTORS/ CHINA | KEY DRIVERS | IMPACT ON KOYO JEANS | * Government interference | Threat | * Government stability | Opportunity | * High Government controlled financial institutions | Threat | ECONOMIC FACTORS /CHINA | KEY DRIVERS | IMPACT ON KOYO JEANS | * Level of disposable income | Opportunity | * Low Economic freedom index rating | Threat |
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Making Business Decisions I: Porter’s Five Forces Analysis 1. There are several things to look at with Buyer Power: bargaining leverage‚ buyer volume‚ substitute’s available‚ buyer’s incentives and price sensitivity are just a few things that encourage buyers to purchase. Buyer power is high when the buyers have many choices of where and who to buy from and low when there are few choices. Broadway Café is located in downtown along with at least five other coffee shops. This means buyer power
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In which industry does P&G compete? Apply Porter’s Five Forces Model to the industry. Is this an attractive industry? P&G is one of the leading companies that are operating in the household consumer product industry. P&G’s threat of substitution is extremely high as there are many companies producing household consumer products‚ both national and international such as Clorox‚ Kimberly-Clark and Colgate-Palmolive CL. Also‚ P&G is also competing with retailers private label brands
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5 Forces Model 1. Threat of New Entrants.( LOW) a. The average person can’t come along and start up a bank‚ but there are services‚ such as internet bill payment‚ on which entrepreneurs can capitalize. Banks are fearful of being squeezed out of the payments business‚ because it is a good source of fee-based revenue. b. Another trend that poses a threat is companies offering other financial services. What would it take for an insurance company to start offering mortgage and loan services? Not
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