Trade barrier

External Analysis: Michael Porter’s five forces In business the ability to make profit depends on how strong of a position the company has in the market. This is determined by; how many competitors that offer the same products, how easy is it for other companies to enter the market if they can see that you make a profit, and how dependent are you to your customers that leads them in to making you lower your price. It is essential to determine you’re positioning in order to avoid working very…

especially threatening when buyers can easily find substitute products with attractive prices or better quality and when buyers can switch from one product or service to another with little cost. 2. Threat of the entry of new competitors, such as barriers to entry (i.e.…

QUESTION 2: How did Fayol divide the activities of an industry? Elaborate on the 14 general principles of management suggested by Henry Fayol. ANSWER: Henry Fayol divided the activities of an industry based on five functions, which are as follows: • Planning • Organizing • Commanding • Coordinating • Controlling 1) Planning: A good plan of action ought to be versatile, continuous, relevant and correct because it unifies the organization by that specialize in the character, priorities, and…

The costs savings and additional revenue generated from a positive customer relationship have proven to be a valuable resource. These loyal customers can offer a business a constant customer base, more frequent purchases, higher profit margins, and a group of peer-trusted supporters who voluntarily market the firm to prospective customers (Reichheld and Sasser, 1990). Additionally, evidence shows it costs much more to attract a new customer to a business than to get a current one to purchase…

fragmented industry. A fragmented industry is one in which there are large amounts of small and medium sized companies. With this industry, the opposite is present. This industry is comprised of a small number of large retail chains that would make the barriers to entry very high due to startup costs and capital investments. Also, economies of scale would make it difficult to enter this industry because…

Competitive Rivalry or Competition with Unilever Rivalry is a noteworthy power in Unilever's industry condition. This area of the Five Forces examination recognizes the outer elements that present the effect of firms on each other. The solid power of focused competition against Unilever depends on the accompanying outer elements and their powers • High number of firms • High aggressiveness of firms • Low switching costs There are numerous organizations working in the customer merchandise…

Michael Porter’s five competitive model forces: (1) the threats of new entrants, (2) the bargaining power of suppliers, (3) the bargaining power of buyers, (4) the threats of substitute products and services, and (5) rivalry among competitors (Kinicki & Williams, 2014, p. 173-174; O’Brien, & Marakas, 2011, p. 46). This model is a starting pointing for identifying the company’s strengths and weaknesses by looking at the industry and itself. This model was developed initially for…

The Great Barrier Reef; it’s a land filled with the wonders of marine life and the beauty of biodiversity. A land where a dense forest of coral stretches on for miles, and schools of vibrant fish dart in and out of coral-ridged windows. A land where sunlight dances through crystal water, landing delicately upon strong branches of the reef and small crustaceans scuttle about the streets of the busy underwater city. It is a land free from the effects of human existence. At least, that’s what we’d…

Before globalization existed, we were prone to many barriers such as "accustomed difference in national or regional preference"(Theodore Levitt, 1983). According to Theodore Levitt (1983), a company could sell an out of date model in a tier three country back in the days when there was no globalization. One of the positive factors which globalization brings to business is business purchasing impacts. Ken Burnside said that globalization makes the world 's corporation move to third world…

The Great Barrier Reef Introduction: The Great Barrier Reef is the world's largest coral reef. (1) It consists of a nexus of coral reefs, shoals and islets in near the Northeastern coast of Australia. It extends in a northwest-southeast direction for around 1,250 miles (2,000 km), at an offshore distance ranging from 10 to 100 miles (16 to 160 km) and has an area of 135,000 square miles (350,000 square km) allowing it to be the largest coral reef in the world. It is sometimes referred to as…