To prepare for this assignment, review Figures 3.3, p.65 from your textbook. Complete an Industry Analysis for two different industries then compare these industries by answering the following questions.
Detail Porter’s Five Forces framework with a graphic representation, like Figure 3.3, (p.65), and a written explanation in relation to the Five Forces for both industries.
Use the results from Porter’s Five Forces framework to explain the reasons why profitability is what it is in the two different industries expressed as high, intermediate, or low.
Explain the structural features of that industry that generate either high or low profitability.
How are structural changes likely to impact competition and profitability in these industries? Is this industry attractive for investment? Why or why not?
Your well-written paper should meet the following requirements:
Be 4 to 5 pages in length, which does not include the required title and reference pages, which are never a part of the content minimum requirements.
Use Saudi Electronic University academic writing standards and APA style guidelines.
Support your submission with course material concepts, principles, and theories from the textbook and at least two scholarly, peer-reviewed journal articles unless the assignment calls for more.
It is strongly encouraged that you submit all assignments into the Turnitin Originality Check before submitting it to your instructor for grading. If you are unsure how to submit an assignment into the Originality Check tool, review the Turnitin Originality Check—Student Guide for step-by-step instructions.
Review the grading rubric to see how you will be graded for this assignment.
For Your Success
Industry analysis is the dynamic place where strategic planning begins. The multitude of environmental factors makes industry analysis very complex. You are encouraged to look for the many facets and then determine their inter-dependencies. In strategic planning, it is necessary to make assumptions based on a solid set of factual data.
Be prepared to develop assumptions when interpreting and forecasting. Remember that assumptions are not opinions but are thoughtful conclusions based on the available facts.
Assumptions are not formulaic, and if you find yourself doubting what to do next, that is the time to consider whether making any assumption will allow you to move forward! Although the tools used in Modules 3 and 4 are simplistic, the interpretation of information is very complex.
You will gain the best understanding of industry analysis by concentrating on applying the content to real-world situations. Think critically and enjoy the discoveries! first Critical Thinking Assignment is due this week. Review the assignment early in the week and contact your instructor if you have any questions or concerns.
Please note that your instructor will be hosting the second required Live Session this week. Learning Outcomes
Analyse an industry in relation to profit, competitive advantage, and attractiveness.
Assess the strength and practicality of industry analytic frameworks.
Chapters 3 & 4 in Contemporary Strategy Analysis
Chapter 3 PowerPoint slides Chapter 3 PowerPoint slides – Alternative Formats in Contemporary Strategy Analysis
Chapter 4 PowerPoint slides Chapter 4 PowerPoint slides – Alternative Formats in Contemporary Strategy Analysis
Isabelle, D., Horak, K., McKinnon, S., & Palumbo, C. (2020). Is Porter’s Five Forces Framework Still Relevant? A study of the capital/labour intensity continuum via mining and IT industries. Technology Innovation Management Review, 10(6), 28–41. https://doi.org/10.22215/timreview/1366.