Question #1"Five Competitive Forces That Shape Strategy" Go to the Harvard Business Review Website...

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Question #1"Five Competitive Forces That Shape Strategy" Go to the Harvard Business Review Website to read the article titled “The Five Competitive Forces That Shape Strategy,” located at http://hbr.org/2008/01/the-five-competitive-forces-that-shape-strategy/ar/1.Please respond to the following:  	From the article, explicate the five competitive forces that shape strategy. Then, determine which of the five competitive forces has the most significant impact on strategy in general. Support your response with evidence or examples. 	Select any industry and analyze its underlying structure in terms of the five forces.  Question #2"Competitive Advantage"Please respond to the following:  	With the same small business from the first discussion in mind, describe the best possible merger or agreement to grow your company and maximize profits. Explain your rationale. 	Again, with the same company in mind, discuss the most effective way to sustain and extend a competitive advantage. Provide specific examples to support your response.  Question #3Week 5 HomeworkChapter 8Question 2Like supermarkets, full service department stores like Macy’s are generally in decline. What factors might these types of stores have in common behind their declines?How would you determine which were important and which were not?Question 16 (a–c)
	
Document Preview: WEEK 5 QUESTIONSQuestion #1"Five Competitive Forces That Shape Strategy" Go to the Harvard Business Review Website to read the article titled “The Five Competitive Forces That Shape Strategy,” located at  HYPERLINK "http://hbr.org/2008/01/the-five-competitive-forces-that-shape-strategy/ar/1" 	 "_new" http://hbr.org/2008/01/the-five-competitive-forces-that-shape-strategy/ar/1. Please respond to the following:From the article, explicate the five competitive forces that shape strategy. Then, determine which of the five competitive forces has the most significant impact on strategy in general. Support your response with evidence or examples. Select any industry and analyze its underlying structure in terms of the five forces.Question #2"Competitive Advantage"Please respond to the following:With the same small business from the first discussion in mind, describe the best possible merger or agreement to grow your company and maximize profits. Explain your rationale.Again, with the same company in mind, discuss the most effective way to sustain and extend a competitive advantage. Provide specific examples to support your response.Question #3 HYPERLINK "https://blackboard.strayer.edu/webapps/blackboard/execute/uploadAssignment?content_id=_4251246_1&course_id=_55389_1&assign_group_id=&mode=view" Week 5 HomeworkChapter 8Question 2 Like supermarkets, full service department stores like Macy’s are generally in decline.  What factors might these types of stores have in common behind their declines?  How would you determine which were important and which were not?Question 16 (a–c)

David · Accepted Answer

Answer1: 
a) The five competitive forces that shape strategy are: 
 Bargaining Power of Customers 
 Threat of New Entrant 
 Bargaining Power of  Suppliers 
 Competitive Rivalry Within an Industry 
 Threat of substitute Products 
For most of the Industries, the intensity of Competitive rivalry is the major determinant of the 
competitiveness of the Industry i.e. sustainable competitive advantage through innovation, 
competition between online &offline companies, level of advertising expenses& powerful 
competitive strategy. The evidence is with respect to not only the large business but small 
business where people compete with each other as rival because they are facing the same 
forces but scale is the only different thing. Understanding  the competitive forces & their 
underlying causes reveals the roots of an Industry current profitability while providing a 
framework for anticipating & Influencing Competition (and profitability) overtime .A healthy 
Competitive structure should be as much a competitive concern to strategist as their company’s 
own concern .For example Even though rivalry is often fierce in commodity Industries, It may 
not be the factor limiting profitability .Low return in photographic film industry, are the result of 
superior substitute product. 
b) The underlying structure of an Industry is reflected in the strength of its five competitive forces 
.Example of this would be Consumer Product Industry considering rival firms Clorox CLX, Procter 
& Gamble etc 
Buyer Power-Consumer Product Industry face weak buyer Power because customer are 
fragmented & have little influence on price or product .But if we take into account buyer of 
consumer product to be retailer rather than Individuals than these firms face very strong buyer 
power. 
Supplier Power-Consumer Product Industry face same amount of supplier power because of the 
cost they incur when switching supplier. Bargaining power for both firms and supplier is limited. 
Threat of New Entrant- The threat of new entrants is fairly low in the industry. 
Threat of Substitute Product-Within the Consumer product Industry, brands succeed in helping 
to build a competitive advantage but even the pricing power of brands can be eroded with 
substitutes. There is high threat of Substitutes.

Question #1 "Five Competitive Forces That Shape Strategy" Go to the Harvard Business Review Website to read the article titled “The Five Competitive Forces That Shape Strategy,” located at...

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