Business Finance
The Competitive Environment at the Industry Level

Question Description

I’m studying and need help with a Marketing question to help me learn.

You have a large sum of money to invest in an entrepreneurial venture. You are investigating possible alternatives on a systematic basis. Using Porter's Five Competitiveness factors, analyze and draw a conclusion about the relative attractiveness of each of the following industries:

  • Computer software design and manufacturing for office applications
  • Gasoline service stations
  • Franchised boutique coffee shops
  • Civilian aircraft design and manufacturing
  • Travel planning and booking (agencies)

Which one seems most attractive? Would your answer change if you represented a consortium of investors with serious funding and only two objectives: create a professionally fulfilling challenge for managers of the enterprise and a stable work environment for the employees? What do you think are the three most critical success factors for each alternative? 


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