1. Sector Analysis

2. Research Questions 1. What are the sector’s dominant economic traits (Market size; scope of competitive rivalry-regional, national, global; market growth rate, stage in the growth cycle; number of rivals, and their relative size and strength; prevalence of backward or forward integration; pace of technological change; scale economies available; capacity utilization; capital requirements; industry profitability; and attractiveness)?

3. 2. What competitive forces are at work in the sector and what impact will they have? 3. What are the drivers of change in the sector and what impact will they have on the current sector structure?

4. 4. What companies are in the strongest/weakest competitive position? Why? 5. Which company is likely to make competitive moves next?

5. 6. What key factors will determine competitive success or failure? 7. How attractive is the sector over all in attracting investors and maintaining profitability?

6. Content Outline 1. Explain & Define the Sector –Provide a clear sector definition –Explain the criteria used for sector definition –Describe the industry sector subset focused on by the team –Explain the team’s rationale for selecting the industry sector subset

7. 2. Major Competitors in the Sector (or sector subset) –Provide a comprehensive list of industry competitors –Explain logic for choosing specific competitors –Provide a brief overview of each competitor/competitor group –Explain competitor strengths/weaknesses

8. 3. Macroeconomic Impacts on the Sector –Analyze the sector’s dominant economic traits –Explain the market size and growth rate –Describe the scope of competitive rivalry –Provide a description of key international and domestic macroeconomic issues facing the firms in this sector

9. 4. Sector Health & Vitality –Analyze the competitive forces at work –Explain the sector’s attractiveness to potential new entrants & new investors –Provide key sector success factors –Describe the overall health of the sector and its firms –Explain current sector opportunities and problems –Provide a summary analysis of the sector’s recent financial performance (last 2 to 4 years)

10. 5. Future Issues –Explain the drivers for change within the sector & from the remote environment –Analyze likely competitor next moves, reactions –Describe the impact of change on key sector participants –Provide your team’s best estimate on how the change drivers and competitor actions/reactions will alter the sector over the next few years

11. 6. Research Quality & References –Provide a complete bibliography of sources used (cited) to demonstrate quality & depth of your team’s research –Show depth & variety of research –Demonstrate throughout the presentation that the team’s research and information in focused and relevant to the topic

12. Standard and Poors Standard and Poors SEC Library Internet