COMPETING IN OUR INDUSTRY Understanding Our Market Conditions.

Slides:

Advertisements

Similar presentations

Strategy and Strategic Management

Advertisements

MODULE 12 STRATEGIC MANAGEMENT “Insights and hard work deliver results” What types of strategies are used by organizations? How are strategies formulated.

Principles of Management Learning Session # 27 Dr. A. Rashid Kausar.

EC Strategy, Globalization, and SMEs

Strategic Planning and the Marketing Management Process

Strategic Management & Strategic Competitiveness

STRATEGIC MANAGEMENT Alex Miller THIRD EDITION

PowerPoint Presentation by Charlie Cook Gordon Walker McGraw-Hill/Irwin Copyright © 2004 McGraw Hill Companies, Inc. All rights reserved. Chapter 1 What.

Conducting an Industry Analysis. Seven Questions for Industry Analysis 1. What are the industry dominant economic traits? 2. What competitive forces are.

I. Identification of Strategy (includes but not limited to SWOT) A. Firm Situation 1. General macro environment 2. Industry and Competitive analysis 

McGraw-Hill/Irwin ©2009 The McGraw-Hill Companies, All Rights Reserved Marketing Concept, Customer Needs, American Marketing Association, Customers, Employees,

Strategic Management.

Copyright © 2011 Pearson Education, Inc. Publishing as Prentice Hall Ch 5 -1.

©2000, Michael A. Mische MOR 559 – Strategic Renewal University of Southern California High-Performance Organizations Key Indicators LECTURE 2 (Supplement)

1-1 Strategic Planning and the Marketing Management Process Chapter 1 McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights.

Strategy and Strategic Management

©2003 Prentice Hall, Inc.To accompany A Framework for Marketing Management, 2 nd Edition Slide 0 in Chapter 4 Chapter 4 Winning Markets Through Strategic.

Strategic Planning and the Marketing Management Process.

THINKING STRATEGICALLY : The Concept of Strategy and the Pursuit of Sustained Superior Profits.

Strategic Cost Management

Objectives Understand how strategic planning is carried out at the corporate, division, and business unit levels. Learn the major steps in the marketing.

Group 2 Nisa Nguyen Huy Tran April 8, 2014 STRATEGY AND THE INTERNET.

Chapter 9 Designing Strategies Management 1e 9- 2 Management 1e 9- 2 Management 1e Learning Objectives  Explain how businesses use planning to.

McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. Chapter 1 The Information Age in Which You Live: Changing the.

© 2003 Pearson Education Canada Inc.

Corporate Strategy -Kishore Kumar August Characteristics of Strategic Decisions Concerned with the scope of an organization’s activities Concerned.

McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.

MARKETING MANAGEMENT 12 th edition 2 Developing Marketing Strategies and Plans KotlerKeller.

Copyright © 2008 by Robert B. Carton Value Systems, Value Chains and Value-Based Management The Essence of Organizational Performance Is the Creation of.

1 Strategic Thinking (Daft, pagina 238 /258) Strategic thinking means to take the long-term view and to see the big picture, including the organization.

CH 2 STRATEGY ANALYSIS. Strategy Analysis Strategy analysis is an important starting point for the analysis of financial statements –Allows the analyst.

Management, 7e Schermerhorn Chapter 8 Prepared by Michael K. McCuddy Valparaiso University John Wiley & Sons, Inc.

Business Level- Strategy: Creating and Sustaining Competitive Advantages Chapter Five McGraw-Hill/Irwin Copyright © 2012 by The McGraw-Hill Companies,

Research and Evaluation 4.1 INVESTMENT PRINCIPLES.

Chapter 3 Designing a Competitive Business Model and Building a Solid Strategic Plan.

Module 7 Strategy and Strategic Management. Module 7 What types of strategies are used by organizations? How are strategies formulated and implemented?

DEVELOPING YOUR STRATEGY Cultivating Our Competitive Advantage.

Strategy Prof Karen Hanen Mgt 360.

Chapter2 COMPETING WITH INFORMATION TECHNOLOGY. Goal: Introduces fundamental concepts of competitive advantage through information technology and illustrates.

Prof. Dr. –Ing. Kalamullah Ramli 1 Business Plan.

Managing Strategy 1 Chapter 9. Strategic Management 2 The set of managerial decisions and actions that determines the long-run performance of an organization.

BUSINESS LEVEL STRATEGY ANALYSIS

Today’s managers & leaders are challenged unlike any of the past generations in their roles.

Chapter 8 STRATEGIC MANAGEMENT © Prentice Hall,

Strategy Formulation and Implementation

Strategic Planning and the Marketing Management Process

Strategy: The Totality of Decisions

Introduction to Strategy

8 Strategic Management Digital Business Strategies: Leveraging Internet and E-business Capabilities.

Chapter 6 – Organizational Strategy

Strategic Cost Management

Define strategic management and explain why it’s important

Crafting a Business Plan and Building a Solid Strategic Plan

Oklahoma Securities Commission

What Is Strategic Management?

Strategy Formulation and Execution

Competing with IT “Using IT as a Strategic Resource and obtaining a competitive advantage.

CORPORATE MANAGEMENT IN ACTION - CMA

STRATEGIC PLANNING AND THE MARKETING MANAGEMENT PROCESS

Strategic Management B O S.

Chapter 6 Organizational Strategy

Industry Analysis I assume you have read chapter 3, the industry project outline, and sample paper. Your perspective: You are consultants hired by the.

Strategic Management Chapter 8

Crafting a Business Plan and Building a Solid Strategic Plan

Chapter 8 STRATEGIC MANAGEMENT © Prentice Hall,

GENERAL FRAMEWORK FOR INTERNAL ANALYSIS

Strategic Leadership & Organisational culture

Corporate-Level Strategy: Related and Unrelated Diversification

Chapter 6 Organizational Strategy

Presentation transcript:

COMPETING IN OUR INDUSTRY Understanding Our Market Conditions

What is our competitive advantage?

Objectives Analyze overall economics and market conditions of the gaming and hospitality industry Leverage industry and market information to inform organizational strategy and decision making Assess the revenue and liabilities of the MGM enterprise Leadership Competency Business Acumen and Decision Making

State of the Industry Game

Recovery Cycles Expect more of the same: Positive Growth! POSITIVE GROWTH 2015 STR, Inc. All rights reserved

ANNUAL VISITOR VOLUME

2014 OCCUPANCY COMPARISON AVG. EST. NIGHTLY OCCUPIED ROOMS

ADR COMPARISON 2014

TRADE SHOW NEWS NETWORK TOP 250 RANKINGS 2014 For the 21 st consecutive year, Las Vegas leads other host cities in the number of TSNN Top 250 shows.

What’s the Problem

MGM Stock History Michelle’s stock history slide

Moving a Stock Reflection of public emotion Institutional vs. traditional investors Fundamental vs. technical analysis

Approximate Effects on Variance in Return on Capital: Variable% of Variance Explained Year2% Industry19% Corporate Parent4% Business Specific Effects (Leadership, Strategy, etc.) 32%

5 Industry Five Force Analysis

Industry Rivalry Intense rivalry reduces average profitability Rivalry is impacted by: Industry growth Product differentiation Number of competitors Competitors diversity

Stacking Up Who are our competitors? Research stock price, EBITA, and Profit Margin of Las Vegas competitors according to Wall Street How do we compare? What is our competitive advantage?

Differentiation Gain a comprehensive understanding of the competitive environment Create a unique value for customers in the environment Achieve and sustain superior performance QualityDelivery Prime SteakhouseMandalay FlexibilityBrand CirqueAria

Portfolio of Businesses vs Portfolio of Competencies

TWO CONCEPTS OF BUSINESS PORTFOLIO OF A BUSINESSPORTFOLIO OF COMPETENCIES Basis for Competition Product competition based on today’s products or services Inter-enterprise competition to build competencies Enterprise Structure Portfolio of businesses related in market terms Portfolio of competencies that drive all aspects of the business Status of the Business Unit Autonomy is central; “owns” all resources other than cash Business unit is a reservoir of acumen and competencies Resource Allocation Businesses are unit of analysis; capital is allocated business by business Competencies are the unit of analysis; leaders allocate capital and management Value Added of Leaders Optimize corporate returns through strategic allocation Building strategic architecture and competencies to secure the future

Portfolio of Competencies Demonstrates Business Acumen and Sound Decision Making Leads and Develops a High-Performing, Inclusive, and Diverse Workforce Champions Innovation and Change Partners and Collaborates with Others Exemplifies Leadership Integrity and Courage Pursues Personal Development Inspires a Values-Based Culture

Application Conduct a competitive analysis on our closest rivals (CZR, WYNN, LVS, BYD) Compare financial data Stock price YTD stock change percentage EBITDA Profit margin Cash flow Market share Do they offer any products or services that we don’t? What (if any) do they do better than their rivals What is their geographic scope? Where do they compete and why? What is their degree of diversification? Do they have a range of products and services? What is our competitive advantage?

APPLIED EXCELLENCE Presented by MGM RESORTS UNIVERSITY