Competitive Analysis

Question 1

What is the potential sixth force?

Answer 1

Complements - create value for industry and can exercise bargaining power

Question 2

Types of Competition

Answer 2

IO Competition - Five Forces
Chamberlinian Competition - unique assets and capabilities of individual firms and their impact
Schumpeterian Competition - Overthrow others by innovation

Question 3

Framework for Competition Analysis

Answer 3

Strategy (how they compete)
Objectives
Assumptions (about the industry and itself)
Resources and Capabilities (strengths and weaknesses)

Question 4

Blue Oceans

Answer 4

New markets where competition is minimised

Question 5

Red Oceans

Answer 5

Industries are well defined and rivalry is intense