Chapter 3. External Analysis: Industry Structure, Competitive Forces, and Strategic Groups

Initial Postings: Read and reflect on the assigned readings for the week. Then post what you thought was the most important concept(s), method(s), term(s), and/or any other thing that you felt was worthy of your understanding in each assigned textbook chapter.Your initial post should be based upon the assigned reading for the week, so the textbook should be a source listed in your reference section and cited within the body of the text. Other sources are not required but feel free to use them if they aid in your discussion.

Also, provide a graduate-level response to each of the following questions:

In January 2017, a U.S. grand jury indicted six current and former VW executives for their alleged role in the emissions scandal and its subsequent cover-up. The U.S. Justice Department decided to bring charges against these executives after a 16-month criminal investigation by the FBI. In the past, it has been rare for executives to be personally indicted for company misconduct. Do you agree with the decision to go after individual managers in this case? Why or why not?

Explanation & Answer length: 2 pages

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Because learning changes everything.® Chapter 3 External Analysis: Industry Structure, Competitive Forces, and Strategic Groups © 2021 McGraw Hill. All rights reserved. Authorized only for instructor use in the classroom. No reproduction or further distribution permitted without the prior written consent of McGraw Hill. Learning Objectives 1. Generate a PESTEL analysis to evaluate the impact of external factors on the firm. 2. Differentiate the roles of firm effects and industry effects in determining firm performance. 3. Apply Porter’s five competitive forces to explain the profit potential of different industries. 4. Examine how competitive industry structure shapes rivalry among competitors. 5. Describe the strategic role of complements in creating positive-sum co-opetition. 6. Explain the five choices required for market entry.

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