Term
| What is a group of companies offering products or services that are close substitutes for each other? |
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Definition
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Term
| What are products or services that satisfy the same basic customer needs? |
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Definition
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Term
| What are the six competitive forces? |
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Definition
Potential Competitors
Rivalry among established firms
Bargaining Power of Suppliers
Bargaining Power of Buyers
Substitutes
Compliments |
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Term
| The stronger each competitive force, the more what? |
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Definition
| Competitive the industry and the lower the rate of return that can be earned. |
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Term
| What is a function of the height of barriers to entry? |
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Definition
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Term
| The higher the barrier entry rate, the lower the? |
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Definition
| Risk of entry and the greater the potential profits in the industry. |
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Term
| What is a function of industry's competitive structure, demand conditions, cost conditions and barriers to exit? |
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Definition
| Rivalry among established firms |
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Term
| What moderate the competition among established companies and create opportunities for expansion? |
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Definition
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Term
| When does intensive competition that can develop, particularly in consolidated industries with high exit barriers? |
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Definition
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Term
| When are buyers most powerful? |
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Definition
| When a company depends on them for business, but they are not dependent on the company. |
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Term
| When are suppliers most powerful? |
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Definition
| When a company depends on them for business but they are not dependent on the company. |
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Term
| What are products of companies serving customer needs similar to the needs served by the industry being analyzed? |
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Definition
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Term
| How can a company avoid losing customers to similar substitutes? |
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Definition
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Term
| What may have a strong positive impact on demand in an industry? |
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Definition
| Powerful and vigorous complementors. |
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Term
| What are most industries composed of? |
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Definition
| Strategic groups of companies pursuing the same or a similar strategy. |
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Term
| What constitutes a company's immediate competitors? |
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Definition
| The members of a companies strategic group. |
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Term
| Companies in different strategic groups have different what? |
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Definition
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Term
| What is the feasibility of a company changing its strategic group to improve performance a function of? |
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Definition
| Height of mobility barriers |
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Term
| Why are the competitive forces and strategic group views limited? |
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Definition
| They both don't acknowledge the power of innovation and its effect on competition. |
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