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COMPANY’S INDUSTRY ANALYZE
A. Basic information for the company’s industry group (growth, profits, margins,
directions, increased payrolls, downsizing, technology, production capacity, financing methods, etc.) for the past few
years.
C. Changes taking place in the firm’s macro-environment (technological,
economic, political/legal and socio-cultural) that might have an impact,
either positive or negative, on the industry in which your company is based.
D. How will these changes affect the industry?
E. Apply the Porter’s five forces model to the industry in which your
company is based.
1. Assess the industry five forces, including entry barriers, internal rivalry, bargaining power of suppliers,
bargaining power of buyers, substitutes
a. Marketing aspects
b. Human resources and management aspects
c. Financial aspects
2. What does this model tell you about the nature of competition in industry?
3. Is the industry profitable and attractive?
4. Industry dynamics. Is there any evidence that innovation is reshaping competition or that it has done so in the
past?
5. Life cycle stage of the industry
a. Key product life cycle stage(s)
b. Competitive implications of life cycle stage?
c. Company/industry globalization and competitive intensity
d. Use of firm’s resources to remain competitive
6. Strategic groups which the industry and firm must address
a. Firm’s closest competitor(s)
b. Intensity of competition across the strategic group(s)
c. Major competitor’s objective, industry assumptions, capabilities, and current strategies?
RECOMMENDATIONS AND CONCLUSIONS
A. Strategic Issues.
1. Identify the key issue(s) facing the company.
B. Strategic alternatives and Recommendations.
1. Describe each of the possible strategies the firm could adopt at:
a. Business
b. corporate
c. international level
2. Evaluate each alternative in terms of advantages and disadvantages.
C. What strategies should the company adopt?

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