9. Competitive factors Flashcards
1
Q
who’s theory was this?
what are the five competitive factors?
A
Porter’s
- competitive rivalry
- threat of entry
- threat of substitute products
- bargaining power of customers
- bargaining power of suppliers
2
Q
key barriers to entry (6)
A
- economies of scale
- cost advantages independent of scale
- product differentiation
- capital requirements
- switching costs
- access to distribution channels
3
Q
Porters generic strategies (3)
A
- cost leadership (selling at a less price)
- differentiation
- focus on particular market segments
4
Q
Porters primary activities (5)
A
- inbound logistics
- operations
- outbound logistics
- marketing and sales
- service
5
Q
Porter’s secondary activities (4)
A
- firm infrastructure
- technology development
- human resources development
- procurement
6
Q
what is Porter’s value chain?
A
model to determine whether a firms activities contribute towards its competitive advantage.
7
Q
what are the main factors effecting competitive rivalry? (4)
A
- size and strength of competitors
- ease of substitution
- fixed costs
- rate of growth
8
Q
what is a value network?
A
set of connections between organisations and individuals interacting to benefit the whole group
9
Q
what is SWOT analysis? what can be gained from it? (2)
A
analysis of internal (S and W) and external (O and T) factors to a business
- help identify threats and weaknesses and remove them
- use strengths and opportunities for organisational development.
