MGMT 3563 Lecture 3: Chapter 3
7 Mar 2017
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Case study: tesla, first car was ,000, then they made one for ,000, currently making a car for ,000. So foreign firms opened manufacturing plants in the u. s. and sell it as an. Litigation i. e. tesla; has a build-to-order sales model, cuts out dealers, dealers are lobbying for new legislation: economic. Interest rates: price stability, currency exchange rates i. e. if u. s. dollar inflates, europeans will hesitate on buying. It departments had to incorporate other devices: blackberry lacked awareness of technological factors, did not adapt to the technology in current time, was dismissed as a toy with low security features. Industry: group of incumbent companies who have similar buyers and suppliers and are in business for the same purpose. Or the cloud industry: 4 main competitive industry structures, perfect competition. Firms are price-takers: many small firms, offer commodity products, resulting industry: profitability is typically low.
