Industry Strategies: Mature, Fragmented, Embryonic & Growth
INDUSTRIES AND STRATEGIES
MATURE INDUSTRIES
Where a few big companies dominate, and their actions affect each other. If one lowers prices, the others often do the same, interdependent. These industries grow slowly because the market is already full (saturated), and demand doesn’t increase much. Ex. Coca-Cola & Pepsi dominate, focus on keeping loyal customers & launching small improvements.
Evolution:
- Consolidation: Strong competition forces weaker companies out or leads to mergers.
- Strengthen
Financial Management and Accounting Principles for Businesses
Unit I.
“Finances and Financial Information
Finance Definition
When we want to start a business, one of the points that are tackled is the acquisition of the necessary funds for implementation of the company.
When the business need to make your planning of the next period should also solve the problem of business economics, compilation of resources and their proper implementation.
The financial manager then has to address the following questions:
What funding sources can be used?
How to properly
Read MoreStrategic Business Insights: Market Growth and Globalization
Strategic Implications of Market Growth
1) Faster Growth for New Products:
- Mass Media: Quickly spreads awareness to large audiences.
- Low-Cost Mass Production: Reduces costs, making products affordable and boosting sales.
2) Factors Affecting Market Growth:
- Relative Advantage: Clear benefits equal faster growth.
- Example: Electric cars save money and help the environment.
- Complexity: Simpler products grow faster.
- Example: Easy-to-use smartphones grew faster than complex home systems.
- Compatibility: Products
Travel Agencies: Regulations, Services, and Contracts in Spain
Travel Agencies: Regulations and Operations in Spain
Travel agencies serve as intermediaries between product suppliers (direct suppliers) and the final user. The subject company engages in contracting, travel arrangements, etc. Travel agencies are regulated by:
- Royal Decree 271/88 of March 25th
- Valencian Autonomous Regulation 20/1997 of February 11th
Subject Matter
1. Travel agents exclusively handle the following:
a) Mediation in ticket sales or seat reservations for all means of transport, as well as
Read MoreMaquiladora Industry Evolution in Mexico (1982-1994)
The Maquiladora Industry in Transition (1982-1994)
Regional Socioeconomic Context
The maquiladora program was initiated to replace the agreement on farm workers in 1964, with the main objectives of job creation and training of manpower in the border area. Since the early 1950s, the population growth in the border entities exceeded the national average. In the early 1970s, the urban population was higher than in rural areas, requiring more sources of employment.
Tijuana and Juarez are two major municipalities
Read MoreProduction, Trade, and Market Dynamics in Economics
Production Possibilities and Trade
The Production Possibilities Frontier (PPF) also represents the Consumption Possibilities Frontier.
- Absolute Advantage: The ability to produce a good using fewer inputs than another producer.
- Opportunity Cost: What must be given up to obtain something else.
- Comparative Advantage: The ability to produce a good at a lower opportunity cost than another producer. Whoever forgoes a smaller amount of other goods to produce good X has the lowest opportunity cost of producing