MAN4720 Capstone industry analysis project (Porter’s 5 forces)

I'm working on a management project and need an explanation and answer to help me learn.

In the industry analysis project you will research, analyze, and produce a report that provides your assessment of telecommunication industry. By solidifying your understanding of the industry as a whole, you are building a foundation of expertise about the telecommunication industry.

• Reflect significant secondary research.
  • 3-4 sources
• Explicitly and correctly apply course concepts.
• Be written for a professional audience (the CEO of the company)
  • Use plain English and avoid overuse of jargon
  • The goal here is to demonstrate your understanding in a way that take complex analyses and present them in a simple, easy-to-digest manner (not the other way around).
• Be well crafted with respect to presentation. The document should be well written and professional. Grammar, spelling, flow, and other elements of strong writing will be considered in the grading of the report.
• Rely on direct quotes sparingly and only when the quote is particularly insightful. Do draw from other sources (and cite them appropriately), but generally you should do so in your own words.
• Explain your analyses – You will likely find analyses done by third parties, and we encourage you to look at and draw from them. However, remember that their analysis is just one data point in your analysis. So it really does not matter what their findings were (you may very well disagree with them based on the additional evidence you uncover), make sure you provide your own analysis of the industry.
• Synthesize, do not just consolidate – It may be tempting to assign analyses to individuals and then staple them together to make an industry analysis without synthesizing the findings. This is not a good strategy because it results in disjointed analyses that do not talk to each other. There are interrelationships among these analyses where the insights from one can inform insights in the others. Make sure that you are synthesizing the data and analyses to present a coherent overall assessment of the industry.
• Weigh in, but do not overreach – You are going to have to make judgments based on the data you uncover in your research. For some students this is difficult because they do not feel comfortable moving beyond the individual data to identify the bigger picture. For other students there is a tendency to take very little data and make sweeping generalizations. Both of these students will need to stretch themselves with this assignment by finding the middle ground. Do make judgments based on the data, but provide evidence that support your arguments and avoid taking positions that go well beyond what your evidence suggests. For example, one newspaper article indicating that cargo shorts are making a comeback in Orlando does not provide strong evidence that this is a national trend.

Suggested Approach to Research: Here is how you might start your research:

1. Determine your NAICS code. This will increase the efficiency of your research. If you cannot identify the NAICS code, then try using a SIC code instead.

1. Find magazine/journal articles or books about your type of business; print the articles to ensure that you have the source of the information. List the articles and books you researched and describe the pertinent information you found that will be included in your report.

1. Use the Internet. There is a wide variety of Internet sources of information available to you as a UCF student. The UCF Library has licenses for many databases and online information sources; either access them from an on-campus computer lab, login through the UCF libraries home page, or install the Pegasus CD on your home computer to access these sites for free.

Document Your Sources: As you conduct your research, carefully document the sources of the information. We have a Zero Tolerance policy for plagiarism in this course. Your report will be submitted to Turnitin.com, an online anti-plagiarism website.

Outline: The following is an outline of the types of issues you will want to address in your report. Be sure to go beyond just describing the industry. Discuss the implications of your findings for firms competing in your industry. Note that not all issues contained within each section will apply to every industry. Choose the most pertinent issues and discuss them according to the applicability to your assigned industry. However, there are certain sections that are required for all reports and are marked as such, so please make sure to include them in your assignment (see the rubric for details as well).

Porter's Five Forces

Intensity of Competitive Rivalry in the Industry (Include as a sub-heading.)

Research: If you were studying steel production, you would identify the extent to which companies in this industry tend to compete fiercely. Look up information in your industry to see if there is a lot of rivalry among the companies currently in the industry and describe that here. Don’t forget to state the overall level of strength of this force for your industry as high, medium, or low. Be sure to discuss the relevant criteria for this force.

Report: Detail your research findings regarding the force. Also, discuss how it impacts the attractiveness of the industry in just one or two sentences.

Threat of Substitute Products (Include as a sub-heading)

Research: If you were studying steel production, you assess whether products and services from other industries (i.e., substitutes) pose a salient threat to the steel industry. If there are salient threats, discuss what these are and why they are a threat. If not, why aren’t these industries’ products/services a salient threat? In the very rare case that there are no substitutes for your industry’s products and services, state that this is not an issue and why. For example, is plastic (a different industry) a good substitute for steel? Don’t forget to state the overall level of strength of this force for your industry as high, medium, or low.

Report: Detail your research findings regarding the force. Also, discuss how it impacts the attractiveness of the industry in just one or two sentences.

Threat of New Entrants (Include as a sub-heading)

Research: If you were studying steel production, you would identify whether it is likely that new firms will enter the steel production industry. Describe reasons why there are – or are not – barriers to entry into this industry (e.g., is there a high capital requirement to enter this industry, is it difficult to obtain the resources to produce steel, etc.). Don’t forget to state the overall level of strength of this force for your industry as high, medium, or low. Be sure to discuss the relevant criteria for this force.

Report: Detail your research findings regarding the force. Also, discuss how it impacts the attractiveness of the industry in just one or two sentences.

The Power of Buyers (Include as a sub-heading)

Research: If you were studying steel production, you would look up information regarding whether the steel production companies or their customers (those who purchase steel) have more power. One way to think about this is when they sit down together to talk about the sales price of the steel, who is more influential in the negotiation? Don’t forget to state the overall level of strength of this force for your industry as high, medium, or low. Be sure to discuss the relevant criteria for this force.

Report: Detail your research findings regarding the force. Also, discuss how it impacts the attractiveness of the industry in just one or two sentences.

The Power of Suppliers (Include as a sub-heading)

Research: If you were studying steel production, you would look up information regarding whether the steel production companies or their suppliers (industries that produce the inputs to steel production) have more power. Similarly to the power of buyers section, one way to think about this is when they sit down together to talk about the sales price of the input (e.g., iron ore), who is more influential in the negotiation? Don’t forget to state the overall level of strength of this force for your industry as high, medium, or low. Be sure to discuss the relevant criteria for this force.

Report: Detail your research findings regarding the force. Also, discuss how it impacts the attractiveness of the industry in just one or two sentences.

Summary of Forces and Attractiveness (Include as a sub-heading)

After you have gone through all five forces, assess the overall attractiveness of the industry.

Report: Provide a summary of your analysis of all of the key forces and what they mean for the industry. Clearly state your conclusion regarding the overall industry attractiveness and why. Base this on the perspective of a company that already operates in the industry. Note – if the industry is segmented, be sure to include a brief discussion of that fact and how the forces might differ across the different segments.