In: Operations Management
using the industry life cycle model, explain how the threats and opportunities for existing firms in an industry change over time.
The threats and opportunities for existing firms in an industry change over time are explained below:
Threats |
Opportunities |
New technological change is a major threat for the firm. |
Because of changes the company to sustain will use their opportunities to provide new design to their products. |
The customer demanding low price on high quality will be a threat as that impact on the growth of the firm. |
Innovation and creativity plays a major role to attract customers in the market to increase the demand of sales. |
The leadership style of the firm will be threat to the company as where if there is a change in the management that will impact on the business operations. |
The firm needs to target on niche market as that helps to reduce the competition level of company in the market. |
The threat is the customer would switch to other product and services with the same industry competitors. So that company needs to provide unique product and services to increase on the sales to generate high revenue. |
To increase the brand image the company needs to increase their suppliers in the market. |