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QUESTION

You have been called in by your boss. The company is considering buying another smaller firm; however, some business analysis is needed for your company management to make its final decision about pur

You have been called in by your boss. The company is considering buying another smaller firm; however, some business analysis is needed for your company management to make its final decision about purchasing. Your boss has asked you to look at the firm that he or she is considering to buy in terms of competitive advantage. You have been asked to explain to senior management how you would provide this information. You have been tasked with using Porter's five forces to make this determination. Discuss and defend to your management how utilizing Porter's five forces to analyze any organization or industry would provide an understanding of competitive advantage.

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******* Head: ********** ******** *** *********** ******************* ******** for *********** AdvantagePurchasing ******** *** *********** ********* *** purchasing ******** ** ******* ******* **** ** not ** easy **** ******* ** *** *********** ****** ********* *** ********* **** Therefore ** ** ********* ** *** any specific **** ** ******* ******** ********* ** *** firm’s ******** ** **** ********** ******** *** ****** *********** ********* ********* ***** At **** ***** *** *********** **** *** ** ********* ***** *** firm *** ** ******** with *** **** of Porter's five ****** ** **** this ************* *** ** can ** described ** below: ******* of *** ********* ** *** ******** of any ************ or industry it ** ********* ** **** ***** *** new entrants ** *********** in *** **** ******** of the ******** This is because; it helps ** ******* *********** ***** *** barriers to ***** in *** industry *** suitable environment ** conduct ******** ** ******** the desired firm in the ****** ********* ***** **** ***** ***** ** ******* ******** for *** entrants such ** ********* ***** rules *** regulation and ****** *** purchasing ** new firm would ** the ********** ******** ******* ** ********** Products ** ********* The ******** of ********** ******* ******* firm ***** ** ******** ***** the ******* ** ********** ******** ** services **** ** because ** the ******* *********** **** how *********** ******** ** services can affect the sales and ******* ** the ********* **** ********* ***** ** **** ** **** ****** ** ************** ** *** ********** products or ******** ** *** **** can increase the chance of purchasing ******** *********** and ********************* ***** ** ********** The ********** ***** ** customers ** **** ********* ** ***** ** *** management of *** ************ **** making ******** ** ********** of ******* smaller **** When *** ******** and ******** ** the **** ** ****** ** *** ****** and ***** is **** ** strong *********** ******** or ******** *** ********** *** take ******** *** ********** *** **** ******* there ***** ** no other ****** for the ********* to *** the products (Porter 2008) ********* *** ********** ***** ** ********* would be ***************** Power ** Suppliers: The ********** ***** ** suppliers ** related ** the dominating ****** of suppliers **** ******* ** ******** ***** of the *** ********* ********** *** *********** ** inputs ** *** ** ******** when ***** ***** ** **** ****** ** ********* ** possibility ** switching ** the ******** ********* ** *** other ******* ** **** ** **** ***** ** *** supplying ********* ******* 2008) ********* *** ******** ** ********** ** the firm ***** ** less valuable *** ********** financial ****** ** *** other **** **** *** ****** ** *** suppliers *** **** **** the *********** *** ********** ***** would ** less effective and the ******** *** ** **** *** ********** ********* ** *********** ******** *** ************* of ********* rivalry ** **** ********* while ****** *** decision ** ********** ** ******* firm ******* of *** adverse situation *** ****** ** competition **** ******** ********* ******* ***** Therefore *** ********** of *** ************ ****** **** ********** ******** on ****** of **** ********* *********** ******* in the ****** ** **** *********** *************************** * ****** ************* ******* Porter: *** ********* ***** ** Competition *** ******** **** ******* ******** *********** ** ****** Competitive ********* Techniques for ********* Industries *** *********** **** ***** *** **********

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