Industry Analysis Quiz

Industry Analysis

• Definition: Examine the overall attractiveness of an industry and identify opportunities and threats.
• Key factors to analyze:
  • Competitor analysis: Identify direct and indirect competitors, their market share, and strategies.
  • Market size and growth rate: Assess the current market size and growth prospects.
  • Customer analysis: Understand customer needs, preferences, and buying habits.
  • Supplier analysis: Evaluate the bargaining power of suppliers.
  • New entrant analysis: Analyze the barriers to entry and the likelihood of new entrants.
  • Substitute analysis: Identify potential substitutes and their impact on the industry.

Corporate Social Responsibility (CSR)

• Definition: A company's commitment to improve societal welfare while pursuing its business goals.
• Key aspects of CSR:
  • Economic responsibility: Create economic value while minimizing negative impacts.
  • Environmental responsibility: Reduce environmental footprint and promote sustainability.
  • Social responsibility: Promote social welfare, human rights, and community development.
  • Philanthropy: Contribute to charitable causes and community development projects.

Macroeconomics

• Definition: Study of economy-wide phenomena, including inflation, unemployment, and economic growth.
• Key macroeconomic concepts:
  • Gross Domestic Product (GDP): Total value of goods and services produced within a country.
  • Inflation rate: Rate of change in average prices of goods and services.
  • Unemployment rate: Percentage of labor force unable to find work.
  • Fiscal policy: Government's use of taxation and spending to influence the economy.
  • Monetary policy: Central bank's use of interest rates and money supply to regulate the economy.

Globalization

• Definition: Increasing integration and interdependence of economies worldwide.
• Key drivers of globalization:
  • Trade liberalization: Reduction of trade barriers and tariffs.
  • Advances in technology: Improved communication, transportation, and information exchange.
  • Investment and capital flows: Increased cross-border investments and capital flows.
  • Global value chains: Fragmentation of production and distribution processes across countries.

Market Structure

• Definition: Characteristics of a market that affect the behavior and performance of firms.
• Key types of market structures:
  • Perfect competition: Many firms, free entry and exit, and no single firm influences the market.
  • Monopoly: Single firm, barriers to entry, and significant market power.
  • Oligopoly: Few firms, interdependent decision-making, and non-price competition.
  • Monopolistic competition: Many firms, product differentiation, and non-price competition.

Industry Analysis

• Analysis of an industry's attractiveness, identifying opportunities and threats
• Factors to analyze:
• Competitor analysis: direct/indirect competitors, market share, and strategies
• Market size and growth rate: current market size and growth prospects
• Customer analysis: customer needs, preferences, and buying habits
• Supplier analysis: bargaining power of suppliers
• New entrant analysis: barriers to entry and likelihood of new entrants
• Substitute analysis: potential substitutes and their impact on the industry

Corporate Social Responsibility (CSR)

• Company's commitment to improve societal welfare while pursuing business goals
• Key aspects of CSR:
• Economic responsibility: create economic value while minimizing negative impacts
• Environmental responsibility: reduce environmental footprint and promote sustainability
• Social responsibility: promote social welfare, human rights, and community development
• Philanthropy: contribute to charitable causes and community development projects

Macroeconomics

• Study of economy-wide phenomena: inflation, unemployment, and economic growth
• Key macroeconomic concepts:
• Gross Domestic Product (GDP): total value of goods and services produced within a country
• Inflation rate: rate of change in average prices of goods and services
• Unemployment rate: percentage of labor force unable to find work
• Fiscal policy: government's use of taxation and spending to influence the economy
• Monetary policy: central bank's use of interest rates and money supply to regulate the economy

Globalization

• Increasing integration and interdependence of economies worldwide
• Key drivers of globalization:
• Trade liberalization: reduction of trade barriers and tariffs
• Advances in technology: improved communication, transportation, and information exchange
• Investment and capital flows: increased cross-border investments and capital flows
• Global value chains: fragmentation of production and distribution processes across countries

Market Structure

• Characteristics of a market that affect firm behavior and performance
• Key types of market structures:
• Perfect competition: many firms, free entry and exit, and no single firm influences the market
• Monopoly: single firm, barriers to entry, and significant market power
• Oligopoly: few firms, interdependent decision-making, and non-price competition
• Monopolistic competition: many firms, product differentiation, and non-price competition