国际营销英文课件chapter 5 Competitive Environment.pptxVIP

Objectives Analyze competitive environment structure Assess a firm’s competitive position Look at Porter’s Diamond of national competitive advantages Develop effective competitive strategies Chapter 5: Competitive Environment 5.1 Structure of Competitive Environment For a company, a simple task is to identify its competitors. For instance: Coca-cola Pepsi-cola Sony Panasonic Decision makers must monitor competitor’s marketing activities, keep watch on the competitive environment, and understand the characteristics of the industry they operating in. There are industry concept of competition and market concept of competition. Industry perspective Industry Types of industry structures Industry is a group of firms that offer a product or class of products that are close substitutes for each other. Industry is classified on the number of sellers and degree of differentiation Pure monopoly Oligopoly Monopolistic competition Pure competition In the case, there is only one firm that provides a certain product or services in a country or area. Government regulated services such as utilities; patent or invention like new medicines Total monopoly is affected constantly by deregulation movements and substitutes Pure monopoly It is a structure with a limited number of sellers in the industry where high start-up costs form barriers to keep new competitors from breaking into markets, while ensuring that corporations remain innovative. Products in oligopoly are typically essential commodities like oil or steel. Strong interdependence among major suppliers is the characteristics Oligopoly In a monopolistic competition industry, there are many competitors that are able to differentiate their offers in whole or part, for instance: Restaurants, beauty shops Competitors focus on market segments They try to meet customers needs with superior products or services Monopolistic competition It is defined as an industry where many competitors