Se ao DC) Marketing Management Structures QQ) Porter's 5 Forces Analysis of Strategic Groups of Competitors Value Chain Analysis SWOT Analysis Positioning Product Differentiation Vertical Integration ——— SSfe PORTER'S FIVE FORCES ‘rat of Now Entrants Bargin Power of Suppiore Forces Shaping Industry Competition) vary Among Compettors "Porter's 5 Forces" is an analysis scheme created by Harvard Business School Professor Michael E. Porter in 1979 that allows business managers to gauge the level of competition within their company's industry, and thus assess current and potential lines of business. The ultimate goal of this analysis is to help managers set their profitability expectations, because as we know, profitability decreases as competition increases. To sum, this analysis can be used to guide business strategy to increase competitive advantage.fe RATEGIC GROUPS * Astrategic group is made up of rival __The strategy group map isthe primary tool for analyzing NS ut strategic groups. It ids in visualizing and analyzing industry firms that have similar competitive rivals’ competitive positions based on variables (common. approaches and market positions. characteristics) relevant to their strategic significance. Strategic grouping analysis assists businesses in identifying and understanding their most direct competitors. It allows the industry's competitive structure to be redefined in order to compare the strategies of various competitors for similarities and differences.Q&S Example Fast-food restaurant chains in the foodservice industry are a simple example of a strategic group. Fine-dining restaurants, cafes, and family restaurants are just a few of the strategic groups in this industry. Fast-food chains distinguish themselves from these other strategic groups through their low prices, quick service, variety of food, and other factors.fe VALUE CHAIN ANALYSIS * The process of looking at the activities that go into changing the inputs for a product or service into ‘an output that the customer values is known as value chain analysis. + Companies conduct value-chain analysis by examining each production step required to create @ product and identifying ways to improve the chain's efficiency. * In general, value-chain business activities are usually divided into primary activities and secondary activities. - The primary activities are directly related to the creation of a good or service. - The support activities are those that help in enhancing the efficiency and work of an offering to obtain a stronger competitive advantage among peers.Firm Infrastructure The McDonalds corporation has both C-suite executives and Zone Presidents ‘who oversee the firm's operations in varios regions, wth a general counsel overseeing legal matters HR Management it maintains a carer page where job seekers can apply to both corporate and tedtaurant voles I promotes ts tution assatance program to attract alent Technology Development The restaurant has invested in touch Koss to faite ordering and increase operational efcency Procurement The firm uses Jaggaers, a digital procurement frm, to establish relationships with key suppliers across various regions ofthe wo ‘Outbound Logistics Instead offorma, Selon resturants McDonatts hee Jostsuren that ‘ecm on Marketing & Sales smarting sategies focus on ‘media and print Sohereang, ireucing sock medi poss, baitbooe, ane Example ——————$— > Services toadiere hgh Employeos wth ireept ng ‘nd benefits so they in best west thevSWOT ANALYSIS + SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) is a framework for evaluating a company's competitive position and developing strategic plans. SWOT analysis evaluates internal and external factors, as well as current and potential future opportunities. Using the information gathered in a SWOT Analysis, a company can make better decisions to preserve what it does well, capitalize on its strengths, mitigate risk associated with weaknesses, and plan for future events that may negatively impact the company. epalatiel, ee. OpportunitiesHigh-quality customer service ‘Strong brand recognition Positive relationships with suppliers Constricted supply chain Interdependence on the US. market Areplicable business model Expanding the supply chain Global footprint Presence of close rivals Available substitutes The condition of the U.S. marketMarket positioning is the ability to influence consumer perception of a brand or product in comparison to competitors. The goal of market positioning is to establish a brand's or product's image or identity so that consumers perceive it in a specific way. For example: * A handbag maker may position itself as a luxury status symbol * ATV maker may position its TV as the most innovative and cutting-edge * A fast-food restaurant chain may position itself as the provider of cheap mealsHigh Price Example @ Low Quality Boro! Om Quality ; @ 5) ‘TOYOTA @ RENAULT nan MOTORS Low Price[aoa PaaS ATION cy Product differentiation is a marketing strategy used to distinguish a company's products or services from those of its competitors. If successful, it can provide a competitive advantage to the product’s/service's seller while also increasing brand awareness. For example: * the fastest high-speed Internet service CONVERGE a PLDT THe * the most gas-efficient electric vehicle on the market * Tesla differentiates itself from other auto brands because their cars are innovative, high-end, and battery-operated. Also, their customer service is convenient and fast.ION fe VERTICAL INTEGR Vertical integration is a business strategy that sacewardinteroton allows a company to streamline its operations by taking direct ownership of various stages of the manufacturing process rather than relying on outside contractors or suppliers. ~ oe Vertical integration can be achieved by acquiring or establishing one's own suppliers, manufacturers, distributors, or retail locations rather than outsourcing them. It could lower the company's costs and give it more control fenno] over its products, Ultimately, it has the ion potential to increase the company's profits. ee comJollibee’ manufactures the primary products deliver primary products to its vast in Jollibee's own poultry farm network of company-owned and franchisee-owned fast-food restaurants across the Philippines and around the worldRY atta te + Thetnetopeda Teor 072, uot + Becca Moy ole + Amotua. 02. 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