Industry Analysis for Strategic Planning - Desklib

This article discusses industry analysis and the five forces of competition model to determine if an industry is worth entering or staying in. It covers the impact of competitive rivalry, threat of new entrants, substitutes, bargaining power of customers, and bargaining power of suppliers. The article also includes a discussion on the attractiveness of the industry to an organization. Course code and college/university are not mentioned.

Strategic Planning Worksheet #2
Industry Analysis
The next stage of our external analysis is to identify industry characteristics in order to
determine if the industry is worth entering or staying in. We do this by applying the ‘five
forces of competition model’.
Element
Description of the
trend, issue or
change
The impact will
be:
Low, medium or
high?
Positive or
negative?
Evidence to support this analysis
Competitive
rivalry
The trend of sea
recreational options
makes more and more
businesss investment
in the industry, this
gives rise to new
companies.
High; negative
Wang, H.-L. (2014). Theories for
competitive advantage.
Threat of new
entrants
The demand in this
section is only
increasing attracting
more and more
companies to join the
industry.
High;
Negative Collins, J. (2013). Multiculturalism
and Immigrant Integration in
Australia. Canadian Ethnic
Studies, 45(3), 133–149.
Substitutes The presence of too High; Negative
MGT300_Assessment1_Worksheet2
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Element
Description of the
trend, issue or
change
The impact will
be:
Low, medium or
high?
Positive or
negative?
Evidence to support this analysis
many competitors
increases the risk of
substitute for the
company.
Jackson, M. V., Kennett, R. M.,
Bayliss, P., Warren, R., Waina, N.,
Adams, J., … Woolagoodja, K.
(2015). Developing collaborative
marine turtle monitoring in the
Kimberley region of northern
Australia. Ecological Management
and Restoration, 16(3), 163–176.
Bargaining
power of
customers
The customers have
many options in the
industry which makes
the power of the
customer high.
High; Negative
Wang, H.-L. (2014). Theor ies for
competitive advantage.
Bargaining
power of
suppliers
The abundance of
suppliers make the
bargaining power low
in the industry.
Low; Negative
Wang, H.-L. (2014). Theor ies for
competitive advantage.
MGT300_Assessment1_Worksheet2
Last updated on 29-Aug-24
Study Group Australia Pty Limited trading as Martin College, Martin Higher Education Page 2 of 3

Question for discussion and reflection: How attractive is the industry to this organisation?
At present, the Tudor company is faced with challenges in every aspect of the
industry. The company is ages old and has not been successfully operating along with modern
time. The company is using the traditional equipments and designs which are avoided by the
customers as well. The government has released notice to stop the type of boats Tudor is
producing for the safety purpose. All the mentioned factors make the industry unattractive to
this organisation.
MGT300_Assessment1_Worksheet2
Last updated on 29-Aug-24
Study Group Australia Pty Limited trading as Martin College, Martin Higher Education Page 3 of 3