Understanding your organization’s industry is essential to making useful strategy recommendations to Gustavo. You will develop a 6–7 page analysis of the industry in which your organization belongs. Your industry analysis should incorporate the components described here and in Step 7 below. You should appreciate that whatever happens in the industry will influence your organization. Who are the competitors? Is it easy to start a business in this industry? Are there significant entry barriers? What are the dominant characteristics and current trends in your industry? Discuss industry size in terms of the number of companies, total employment, capital investment, major customers, and annual revenues. What are the driving forces of change in the industry, (e.g., innovation, technology, and buyer preferences and lifestyles)? State how organizations compete within the industry and identify the critical success factors in this industry. When you have addressed the trends in your industry, continue to the next step, where you will apply Porter’s competitive forces model to analyze the industry.
#ANALYZE #TRENDS #INDUSTRY
