The five competitive forces (Porter’s framework) as applied to this industry McDONALD’S 1. Threat of substitute products Low-Moderate – Availability of the MCD products – Choose MCD for Easting and Entertainment – Narrows Threat of Substitutes due to introduction of local taste products. 2. Threat of new entrants HIGH – Regulation of Limit – Easy Access Market and Low start up cost – Example of SubWay’s market penetration 3. Intense rivalry among existing players HIGH
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Draft 3 Fast food Obesity is an epidemic that is sweeping over the United States today. It’s affecting both adults and children. With the increase in fast food availability and a decrease in the time most Americans have to prepare nutritious meals at home‚ it’s obvious why more people are eating at fast food restaurants. Obesity is a growing problem in the United States and more and more children are being affected. But do uneducated families have the right to put the blame on fast food restaurants
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Fast Food Essay Julia Mendoza English 114 Section 13 Karen Coopman December 12‚ 2012 Julia Mendoza Eng. 114.13 12-12-12 Fast Food Essay Obesity is becoming an increasingly large problem‚ most especially in the United States where‚ according to the Center for Disease Control and Prevention‚ more than one-third of adults are obese. The large fast food industry of the America creates food that has contributed to this obesity problem‚ and many believe that the industry is the main
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Industry Analysis of Food Service Industry The foodservice (or food service) industry (US English; catering industry in British English) encompasses those places‚ institutions‚ and companies responsible for any meal prepared outside the home. This industry includes restaurants‚ school and hospital cafeterias‚ catering operations‚ and many other formats. Although the restaurant industry is very competitive‚ the lifestyle changes created by modern living continue to fuel its steady growth. More and
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China ’s textile and apparel industry‚ the world ’s largest exporter in 2009‚ is a formidable competitor. Neverless‚ as production costs rise in China‚ some low-cost developing countries are making inroads in this export market. By analyzing this sector using Porter ’s five factors framework- threat of entrants and the determinats of rivalry‚ buyer power‚ supplier power‚ and substitution threats--the article assesses its outlook. The industry ’s "partnership" with the Chinese Government is key to
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Brookes University Research and Analysis Report The identification of the effects of globalisation on the Fast-food Industry By: Meekaal Ali September 2001 Words 4850 Contents page no. 1. Introduction 3 2. Information Gathering 5 3. Identification and analysis of information
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Porter five forces. Potential new entrants. The home furnishing market is a big market with many players. IKEA is one of the biggest players in the market especially in Europe. The threats of new entrants is reduced by the tremendous amount of money needed to start up a home furnishing shop. IKEA has a big advantage to other home furnishing shops‚ they don’t just sell furnish but also kitchen and home accessories. But IKEA doesn’t reach small town and villages‚ here is a change for new entrants
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country are beefing up their business activities with the aim to expand export market. Recently a few new industries have also been established with hi-tech equipment and professionals which will enhance the strength of this sector. Having more than a couple of hundred manufacturing facilities with huge potential in pharmaceutical formulations‚ Bangladesh is treading on a new path of industry economics for self-reliance. With a view to minimizing the import dependency on basic drugs‚ the country
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5 Porter Analysis Nokia 5 FORCES ANALYSIS The economic structure of an industry is not an accident. Its complexities are the result of long-term social trends and economic forces. But its effects on you as a business manager are immediate because it determines the competitive rules and strategies you are likely to use. Learning about that structure will provide essential insight for your business strategy. Michael Porter has identified five forces that are widely used to assess the structure of
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Threat of new entrants Profitable markets that yield high returns will attract new firms. This results in many new entrants‚ which eventually will decrease profitability for all firms in the industry. Unless the entry of new firms can be blocked by incumbents‚ the abnormal profit rate will trend towards zero (perfect competition). The existence of barriers to entry (patents‚ rights‚ etc.) The most attractive segment is one in which entry barriers are high and exit barriers are low. Few new firms
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