external environment: the five forces model

Slides:

Advertisements

Similar presentations

SM Winter Industry Rivalry Entrants Substitutes SuppliersBuyers Porter.

Advertisements

COMPETITIVENESS ANALYSIS AN INTRODUCTION. FORCES DRIVING INDUSTRY COMPETITION.

Copyright ©2003 by South-Western, a division of Thomson Learning. All rights reserved. Slide 2-1 The Competitive Environment: Assessing Industry Attractiveness.

Analyzing the External Environment of the Firm

Strategic Management. 2 The Dynamics of Strategic Planning Strategy  large-scale action plan that sets the direction for an organization Strategic management.

External Analysis: The Identification of Industry Opportunities and Threats Porter, Five Forces and Industry Cycles.

Preview: Environmental Analysis 4 PEST Analysis 4 Industry & Market 4 Porter’s Five Forces Model 4 Generic Strategies 4 Environmental Analysis Overview.

A Framework for Industry Analysis

Industry & Competitive Analysis

COMPETITIVE STRATEGY - Dolly Dhamodiwala.

Michael Porter’s Five Forces Model.

CIS 310 Management Information Systems Competitive Strategy Porter’s 5 Force Model Guthrie, Winter 2013.

EVALUATING A COMPANY’S EXTERNAL ENVIRONMENT

Porter’s Model of Competition. Contents Porter’s five forces – Competitor analysisPorter’s generic competitive strategiesPorter’s model of competition.

Porter’s Five Forces Michael Porter

Tutorial 5 Five forces and PEST analysis

Porter’s Five Forces Model of Competition

Robert E. Hoskisson Michael A. Hitt R. Duane Ireland

Cola Wars Key Take-aways.

Components of the General Environment

External Analysis BUSI 7130/7136 Dr. Shook. What’s an Environment? What’s an Environment? Analyzing the Industry Analyzing the Industry v Five Forces.

Competition. Direct Competitors - Firms likely to gain or lose a substantial share of customers from each other over time because they serve the same.

Figure 11.3: Sales and Profit Life Cycles

EXTERNAL ANALYSIS, CHAPTER 2 DR. MARK FRUIN SPRING 2007 BUSINESS 189.

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

STRATEGIC MANAGEMENT. The Dynamics of Strategic Planning Strategy Strategy –large-scale action plan that sets the direction for an organization Strategic.

Michael Porter Checklist Businesses as systems within systems of systems* *Brian Berry’s classic paper "Cities as Systems Within Systems of Cities" Papers.

The Global Pharmaceutical Industry

Norwegian School of Entrepreneurship Master of Science Program in Innovation and Entrepreneurship ENT 4000 Group work session 3 – 09/09-08.

Competitive Forces Model and Knowledge Management Jason C. H. Chen, Ph.D. Professor of MIS School of Business Administration Gonzaga University Spokane,

Copyright © 2001 Houghton Mifflin Company. All rights reserved. Chapter 3 External Analysis: The Identification of Industry Opportunities and Threats Strategic.

The Strategy Environment Session 2 Business Strategy.

Chapter 2 --Market Imperfections and Value: Strategy Matters u Wealth creation is impossible in a perfect market u Porter’s five forces can be used to.

Agenda Review Michael Porter’s 5 forces model –Rivalry –Non-price competition –Firm size / market share –Interdependence Bargaining power Sustainability.

3. Competitive Forces Model Companies must contend with five competitive forces which you need to analyse (Figure 4-6) : 1Threat of new entrants 2Bargaining.

Chapter 2 --Market Imperfections and Value: Strategy Matters u Conditions necessary for a perfectly competitive product market and resource market: u No.

Learning Objectives To learn to identify the different types of environments that affect a firm To learn to identify the different types of environments.

Industry Analysis Porter’s 5 Forces Model

Business Strategy and Policy

Applied Business Project – Module V Five Force Analysis Presented By Charlotte ForeRunner Integrity | Quality | Consistency Market Planning Market potential.

© 2012 by McGraw-Hill Education. This is proprietary material solely for authorized instructor use. Not authorized for sale or distribution in any manner.

ANALYSING THE BUSINESS ENVIRONMENT Failing to plan is planning to fail! The only constant in the modern world is change!

Recap Chapter 1 & 2. CHAPTER 1 The 3 Basic Functions of Business Organizations Operations Finance Marketing Organization.

External Environment Analysis STRATEGY Environment Firm External analysis searches for conditions and trends that could affect the success of the firm.

Forces Driving Industry Competition. Structural Determinants of the Intensity of Competition Competition in an industry continually works to drive down.

Chapter 6 Analyzing the Industry and Market. Copyright © Houghton Mifflin Company. All rights reserved.6 | 2 Learning Objectives Explain the industry.

A Summary of Porter’s Main Points in His Article Created by Samantha Wong, Northeastern University 2009.

STRATEGIC MANAGEMENT II Porter’s five forces module.

The Porter Framework McIntire Investment Institute Presented by Michael Rosete.

INTERNAL INDUSTRY RIVALRY

The External Environment: Opportunities, Threats, Industry Competition, and Competitor Analysis 1.

BUSINESS LEVEL STRATEGY ANALYSIS

Porter’s Five Forces Model

PORTER’S FIVE FORCES MODEL

EXTERNAL (TASK) ENVIRONMENTAL SCANNING 1

External Analysis: The Identification of Industry Opportunities and Threats Industry structure and Globalisation.

Strategic Charles W. L. Hill Management Gareth R. Jones

The external environment

Macro-Environment Factors

Strategic Management B O S.

The external environment

Topic 2: External Analysis

STRATEGIC ANALYIS OF BUSINESS

Michael Porter Competitive Strategy

Michael Porter’s Five Forces Model.

POWER OF SUPPLIERS IS HIGH WHEN:

Competitive Analysis Most widely used technique for analysing competitors was developed by Michael Porter He believed that when formulating strategy the.

Porter’s Five Forces A framework for analysing the nature of competition within an industry and potential for profit.

Luxury leather goods industry

Porter’s Five Forces of the Steel Industry

Presentation transcript:

external environment: the five forces model Business Strategy external environment: the five forces model

Readings for Week Two Five forces analysis https://www.strategicmanagementinsight.com/tools/porters-five- forces.html Five forces analysis: Amazon http://panmore.com/amazon-com-inc-five-forces-analysis- recommendations-porters-model Five forces analysis: Starbucks Coffee http://panmore.com/starbucks-coffee-five-forces-analysis-porters- model

Industry Structure/Five Forces Model Threat of entry Bargaining power of suppliers Bargaining power of buyers Substitute products Rivalry

Industry Life Cycle Introduction Growth Maturity Decline

Determinants: Threat of Entry Capital requirement Strength of existing brands and trademarks Level of government regulation Customer loyalty/switching costs Product similarity

Determinants: Supplier Power Number of suppliers Switching costs Potential for forward integration Options for substitutes Scarcity of supplier resources

Determinants: Buyer Power Number of buyers Switching costs Potential for backward integration Options for substitutes Buyer price sensitivity

Determinants: Substitutes Price/quality of substitutes Switching costs

Determinants: Rivalry Number of competitors Exit barriers Industry growth Product differentiation Relative size Customer loyalty