CLA and presentation

Please read the following scenario and answer the questions below by providing the analysis based on the relevant theories and applicable examples.

If your business earns superior profits, existing and potential competitors will do their best to get a piece of the success. It is essential for firms to examine a variety of business strategies to enhance the prospects of sustainable profitability. Out of all factors that impact an industry’s sustainable profitability, this assessment focuses on the most damaging threat to sustainable profit, the entry of competitors into the market.

Entry into the market heightens competition and reduces the margins of existing firms in a wide variety of industry settings. For this reason, the ability of existing firms to sustain profits depends on how barriers to entry affect the ease with which other firms can enter the industry including the formation of new companies (Wendy’s entered the fast-food industry in the 1970s); globalization strategies by foreign companies (Toyota entered the U.S. automobile market the middle of the last century) , and the introduction of new product lines by existing firms (computer manufacturer Apple now also sells the popular iPhone).

Your assessment is a paper of minimum eight pages, APA formatted, including one Industry Report and one Company Report that you recommend to the CEO of a company how to create a moat and prevent the threat of entry to the market.

1. Industry Report

Please select an industry and write a rigorous industry report for your selected industry that incorporate the followings:

● The market structure of the industry by determining the concentration ratio in the industry and how market structure affects the entry into the market

● The nature of industry and the network effects

● The production structure of the industry, initial capital requirements, sunk costs, and economies of scale

● The prospect of industry in the future in regard to technological innovations

2. Company Report

Now assume you are managing a company in this industry and are asked to write a Company Report about the long term strategic decision making of the company. The purpose of this report is to recommend a few policies to the CEO that assures a sustainable competitive advantage and long term profitability for the company.

Please include the following variables in your Company Report:

● Sustainable market share and how it can be achieved

● Branding, reputation, and a considerable base of loyal consumers

● The managerial efficiency in strategic decision making regarding:

o The integration and merger activity, vertical and horizontal integration

o Preventing entry of rivals by pricing and cost policies such as limit pricing, predatory pricing, and raising rivals’ fixed or marginal costs

Power Point Presentation

In addition to your paper, please prepare a professional PowerPoint presentation summarizing your findings for your paper. The presentation will consist of your major findings, analysis, and recommendations in a concise presentation of 15 slides (minimum). You should use content from your paper as material for your PowerPoint presentation. An agenda, executive summary, and references slides should also be included.

Important Instructions

- Your presentation will address the questions on your paper only.

- Your paper can be slightly different in content than your presentation, if you want you may add or remove some information.

- The first slide of presentation should have presenter's name and the class and date information.

- I need at least 1 peer reviewed paper related to the topic to be explained in one of your presentation's slides (mention what is the paper's topic, who are the authors, what is it about, and how it is applicable to your case).

- You need to have a separate slide at the end for your references.

- Use charts, graphs, less of text, big fonts, bullet points, and color to make the presentation interesting for your audience!

- Each presenter will receive 5 minutes sharp for the presentation! I will stop the presenter exactly on minute 5, so please practice for time management.

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