General questions

Choose one of the questions and write on page essay. 1. From Table 2.1 select a high-profit and a low-profit industry. From what you know about the structure of your selected industry, use the five forces framework to explain why profitability is high in one industry and low in the other. 2. The practical application of Porter's framework reveals its many limitations.' Discuss and suggest ways in which some of the limitations you identify could be overcome. 3. Aldi is a discount supermarket chain that has over 8000 retail stores worldwide including in the UK, mainland Europe, Scandinavia, the US and Australia. Although Aldi operates internationally, most shoppers choose between retailers located within a few miles of each other. For the purposes of analyzing profitability and competitive strategy, should Aldi consider the discount retailing industry global, national or local? 4. How would you segment the restaurant market in your home town? How would you advise someone thinking of starting a new restaurant what segments might be most attractive in terms of profit potential? 5. What do you think are the key success factors in the: a. pizza delivery industry? b. Formula One racing industry?      

Sample Solution