Tags » Strategy & Planning

Understanding the forces to design strategy


Understanding the five competitive forces that shape industry’s structure is the first step in the strategy design process. Every business should understand the key factors that determine the current profitability, as well as the ones responsible for the profitability shifts at least in the recent past. 7,683 more words

Strategy Planning & Execution

Changing forces, reshaping profitability

Industry structures tend to be rather stable, though there are usually some adjustments and occasionally some radical disruptions. Change drivers may come from outside or from within the industry: technological disruptions such as the rise of internet and social media, changes in customer needs and rise of new segments, development of new business models, etc. 393 more words

Marketing 3.0

Factors to consider when analyzing the industry profitability

Beyond analyzing the five competitive forces that shape the industry structure and its long term profitability, there are other factors that are usually analyzed but also overvalued as key indicators when estimating long term profitability. 422 more words

Strategy Planning & Execution

The 5 Competitive forces: Rivalry among competitors

Competitors’ rivalry may be shown through much evidence, such as advertising campaigns, new product launches, price discount campaigns, product or service improvements, etc. The extent to which rivalry affects the industry’s profitability depends upon the intensity of the competition and the basis of the competition. 913 more words

Strategy Planning & Execution

The 5 Competitive forces: The threat of substitutes

A substitute is a product or service that satisfies the same need in a different way. A threat of substitutes exists when a product’s demand is affected by the price change of a substitute product. 242 more words

Strategy Planning & Execution

The 5 Competitive forces: The power of buyers

In a similar way, powerful clients can leverage their bargaining power by pushing prices down, demanding higher product quality or more added services, etc. In the tourism industry, buyers are FIT, outbound tour operators, internet portals, travel agencies, corporate clients and sometimes also DMCs. 626 more words

Strategy Planning & Execution

How to Sell Combs to Monks

The Story:

3 sales professionals applied to work for a huge company. As they were all evenly qualified, the interviewer decided to set a sales challenge and the person who sold the most would be awarded the job. 640 more words