Chapter 10 Keywords:

Porter's Five Forces Model a tool for analyzing competition of a business. It draws from industrial organization (IO) economics. The five forces are the threat of new entrants, threat of substitutes, bargaining power of customers, bargaining power of suppliers, competitive rivalry.

Barriers to Entry include Economies of Scale (size), Economies of Scope (breadth), Product Differentiation (patents), Cost Advantages (independent of size, such as better management or suppliers), Distribution Channel Access, Government Policy, Switching Costs

Value Chain, the full range of activities needed to create a product or service.

Process Innovation: The implementation of a new or significantly improved production or delivery method. This includes significant changes in techniques, equipment and/or software.

SWOT analysis a method to create a strategic plan by identifying 4 key principles: Strengths, Weaknesses, Opportunities, and Threats.

Reading assignment: Decline of Newspapers

Change Agent a person from inside or outside the organization who helps an organization transform itself by focusing on such matters as organizational effectiveness, improvement, and development.

Yield Management the process of making frequent adjustments in the price of a product in response to certain market factors, such as demand or competition.

Other information not for quiz or exam.