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My assignment is on competitive strategy. 1200 words references should be Harvard style. Submission date XXXXXXXXXXam.

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My assignment is on competitive strategy. 1200 words references should be Harvard style. Submission date XXXXXXXXXXam.
Answered Same Day Apr 25, 2020 HI6006


Sundeep answered on Apr 27 2020
119 Votes
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Table of Contents
Porters 5 forces model--------------------------------------------------------------------------------------3
Swot Analysis--------------------------------------------------------------------------------------------------8
PESTLE Analysis------------------------------------------------------------------------------------------------9
Porter’s 5 forces
An organisational strategy is heavily dependent on the factors influencing its decisions. One such major chunk of factors is called external factors. These are not in the immediate control of the company while it can be influenced to a certain level given the position of the company.
In 1979, Michael E. Porter devised an approach to studying the competitiveness in an industry. He identified 5 major factors that influenced the industry rivalry. These factors helped gauge the attractiveness of the market and device strategies accordingly.
These 5 factors combined to form the Porter’s 5 forces. The following are the Porter’s 5 forces:
1. Competitive Rivalry
2. Threat of new entrants
3. Threat of Substitutes
4. Bargaining power of suppliers
5. Bargaining power of buyers
Competitive Rivalry
One major key to success of an organisation is their capability to understand their competitors’ actions and strategy. (Porter, M.E., 2008)
Two indices that measure competitive rivalry are:
1. Concentration ratio:
This is the total output produced by an industry in terms of the corporations in it.
2. The Herfindahl- Hirschman Indiex(HHI)
Following are a few factors that affect the Competitive Rivalry:
    Change in facto
    Change in competition
    Number of firms
    Market growth
    Fixed costs
    Storage costs
    Switching Cost
    Product Differentiation
    Exit Ba

Threat Of New Entrants
The number of potential new entrants vary from industry to industry. Industries that require high investment and expertise are much harder for new organisations to
eak into and compete.
There are a few ba
iers to market entry which can make it hard for the new entrant to come in and compete:
1. Government Schemes and policies
2. Patents and proprietary knowledge and expertise
3. Highly specialized equipment and technology
4. Internal economies of scale
5. Ba
iers to exit
Threat of New Substitutes
Substitutes are those products that meet a...

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