Hand-Written Assignment, PBM, Sem-4,
Last date of Submission: June 25th, 2021. 10.0pm
Any Two questions have to be answered.
Write your Roll No and Name on Left top of the answer sheet.
Scan your handwritten answers and send it to your CR.
Q1. Which are the popular competitive analyses for evaluation of industry/
market? Briefly explain them along with their implications.
https://corporatefinanceinstitute.com/resources/knowledge/strategy/
industry-analysis-methods/
What is Industry Analysis?
Industry analysis is a market assessment tool used by businesses
and analysts to understand the competitive dynamics of an industry.
It helps them get a sense of what is happening in an industry,
e.g., demand-supply statistics, degree of competition within the
industry, state of competition of the industry with other emerging
industries, future prospects of the industry taking into account
technological changes, credit system within the industry, and the
influence of external factors on the industry.
Types of industry analysis
There are three commonly used and important methods of
performing industry analysis. The three methods are:
1. Competitive Forces Model (Porter’s 5 Forces)
2. Broad Factors Analysis (PEST Analysis)
3. SWOT Analysis
, #1 Competitive Forces Model (Porter’s 5 Forces)
One of the most famous models ever developed for industry
analysis, famously known as Porter’s 5 Forces, was introduced by
Michael Porter in his 1980 book “Competitive Strategy: Techniques
for Analyzing Industries and Competitors.”
According to Porter, analysis of the five forces gives an accurate
impression of the industry and makes analysis easier. In
our Corporate & Business Strategy course, we cover these five
forces and an additional force — power of complementary
good/service providers.
1. Intensity of industry rivalry
The number of participants in the industry and their respective
market shares are a direct representation of the competitiveness of
the industry. These are directly affected by all the factors mentioned
above. Lack of differentiation in products tends to add to the
intensity of competition. High exit costs such as high fixed assets,
government restrictions, labor unions, etc. also make the
competitors fight the battle a little harder.
Last date of Submission: June 25th, 2021. 10.0pm
Any Two questions have to be answered.
Write your Roll No and Name on Left top of the answer sheet.
Scan your handwritten answers and send it to your CR.
Q1. Which are the popular competitive analyses for evaluation of industry/
market? Briefly explain them along with their implications.
https://corporatefinanceinstitute.com/resources/knowledge/strategy/
industry-analysis-methods/
What is Industry Analysis?
Industry analysis is a market assessment tool used by businesses
and analysts to understand the competitive dynamics of an industry.
It helps them get a sense of what is happening in an industry,
e.g., demand-supply statistics, degree of competition within the
industry, state of competition of the industry with other emerging
industries, future prospects of the industry taking into account
technological changes, credit system within the industry, and the
influence of external factors on the industry.
Types of industry analysis
There are three commonly used and important methods of
performing industry analysis. The three methods are:
1. Competitive Forces Model (Porter’s 5 Forces)
2. Broad Factors Analysis (PEST Analysis)
3. SWOT Analysis
, #1 Competitive Forces Model (Porter’s 5 Forces)
One of the most famous models ever developed for industry
analysis, famously known as Porter’s 5 Forces, was introduced by
Michael Porter in his 1980 book “Competitive Strategy: Techniques
for Analyzing Industries and Competitors.”
According to Porter, analysis of the five forces gives an accurate
impression of the industry and makes analysis easier. In
our Corporate & Business Strategy course, we cover these five
forces and an additional force — power of complementary
good/service providers.
1. Intensity of industry rivalry
The number of participants in the industry and their respective
market shares are a direct representation of the competitiveness of
the industry. These are directly affected by all the factors mentioned
above. Lack of differentiation in products tends to add to the
intensity of competition. High exit costs such as high fixed assets,
government restrictions, labor unions, etc. also make the
competitors fight the battle a little harder.
