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Group 9 Section-F
Saurabh Agarwal
Abhishek Sharma
Low Low
Low Low High
Economies of scale
Significant economy of scale because of high fixed cost Cost advantage due to high volume and learning curve
Product differentiation
The existing player offer highly differentiated product Customers loyalty is high due to differentiation in product
Capital requirement
Prohibitively high R & D cost Huge initial cost for set up facility
Low due to retail distribution channels Bargaining power for prime slots may give advantage to existing player
Consolidation of buyers
Low because mainly individual consumers High because of products are available for consumers of different lifestyles High due to sophistication of product High quality awareness of consumers
Product differentiation
High switching cost due to loss of customized services offered Switching by current manufacturer cost
integration
Consolidation of Supplier
Importance of product
High because suppliers depends on this industry Low for standard product suppliers
Differentiation of supplier
Importance of supplier
Forward integration
Consolidation of industry
Industry growth
Differentiation of product
Capacity augmentation
Exit barrier
Disruptive innovation