Master this deck with 20 terms through effective study methods.
Generated from uploaded pdf
A group of firms offering closely substitutable products or services.
To identify factors that define long-term profitability expectations.
Rivalry, threat of new entrants, threat of substitutes, buyer power, supplier power.
It creates opportunities for all participants, reducing competitive pressure.
They can lead firms to lower prices to cover costs, increasing rivalry.
It prevents price-based competition and enhances profitability.
It stabilizes competition and reduces the likelihood of aggressive actions.
Factors that prevent new competitors from easily entering an industry.
They help maintain high profitability by limiting competition.
High entry barriers often correlate with high exit barriers, affecting industry dynamics.
They limit pricing power and can cap industry profitability.
Strong buyers can demand lower prices, impacting profitability.
Suppliers can influence costs and quality, affecting industry profitability.
A set of firms within an industry that follow similar strategies.
By analyzing dimensions like product differentiation and market focus.
To visually represent the positioning of firms within an industry.
It can create new competitive dynamics and alter existing market conditions.
Firms must balance competition with strategic alliances for mutual benefit.
They can enhance resources, market access, and reduce competitive tensions.
Market growth, competitive intensity, and external economic conditions.