Exam 3: Analysing the External Environment

Extension of the 'five forces' framework moves it towards:

To gain an understanding of how each market works within an industry we ask:

Firms which offer complementary products or services that add value to an industry are known as:

Pensions are one of the largest costs to government and they are expected to decrease dramatically over time.

Critical success factors vary across industries.

Industry analysis aims to answer the question:

Industry life cycle models aim to explain organisation and industry growth and decline over time.

An industry is defined as:

Explain what four components from Porter's original diamond model provide a basis for understanding when internationally competitive industries will be successful in some regions or countries.What are two other elements in the diamond model and why are they important?

Economic trends are often key drivers of industry growth.

The elements of the macro-environment do NOT include:

Government policies and regulations can be a barrier to new entrants in an industry.

Porter's 'diamond' model of international competitiveness does NOT include:

A 'five forces' analysis will suggest that profitability should be high when:

In carrying out a competitive positioning analysis of an industry it is important to:

The best approach for defining an industry is:

In Australia,if a product gains entry to the government's Pharmaceutical Benefits Scheme,the government does not subsidise its cost to users.

Scenario planning is an alternative approach in which several different scenarios are developed so that the organisation can consider how it would position itself under each.

Ansoff argued that it is important to consider the different levels of turbulence in industries.Briefly discuss each level and give an example of each.

The factors that influence the bargaining power of suppliers include: