Industryanalysis Flashcards
What is the first step that is required in industry analysis
The first step in investigating and industry is to investigate the industry. WE need to know where is the industry in its life cycle , is it emerging, maturing or declining. Also, how has the industry been performing (growing or declining ) over the last 1,2,5, and 10 years? Moreover how have we been doing compared to the industry ? Furthermore, what market share does each hold? Has the industry seen any major changes lately such as new players, new technology, and increased regulations. To add to that, we must know does drive the industry, is it the brand new products, is it the technology?
What is the second step that is required in industry analysis
The second step that is required in industry analysis is to know the suppliers of the industry. Have the suppliers been consistent ? what is going on in their industry? Also will they continue to supply?
What is the third step required in industry analysis?
The third step required in industry analysis is to outlook the future of the industry. Meaning we want to know if the market players are leaving or entering the industry.Furthermore, have been there many merges and acquisitions lately? and what are the barriers for entry and exit of the industry.
