Ankush Chopra Ankush Chopra Ankush Chopra Ankush Chopra
  • About
  • Blog
  • Books
    • The Dark Side of Innovation
    • A Sixty-Minute Guide to Disruption
  • Speaking
  • Academy
  • Sign In
Ankush Chopra Ankush Chopra
  • About
  • Blog
  • Books
    • The Dark Side of Innovation
    • A Sixty-Minute Guide to Disruption
  • Speaking
  • Academy
  • Sign In
Oct 19
Industry Profitability

Industry Profitability

  • Ankush Chopra

You may have heard “this is a great business!” or “this is a really tough business to be in”. These refer to the fact that some businesses allow you to make a lot more money than others do. This difference in industry profitability is indeed structural.

This quick bite poster shows you the five forces that determine an industry structure and thus the profits in that industry. Although this knowledge comes from Industrial Organization Economics, it was synthesized beautifully by Micheal Porter in his landmark book Competitive Strategy.

How to Use Quick Bite Posters?

Each quick bite poster gives you access to a concept in business so that you can learn or refresh it within 15 seconds. If you are a business pro, use the quick bite as a prompt for your current problems. That may be an excellent way to use the concept that you already know. If you are learning about business, add this important concept to your toolkit.

Prompts for Industry Profitability

In your industry, do you understand each of the five forces? Which one has traditionally determined the profits more than the other four? Most importantly, is the power of the five forces stable or changing? Is your industry becoming more or less profitable? How is your company dealing with this changing industry structure?

 

Like this Post?

Please note: I reserve the right to delete comments that are offensive, or off-topic. If in doubt, read my Comments Policy.

Leave a reply Cancel reply

Your email address will not be published. Required fields are marked *

Want to Develop Strategic Thinking Skills?

Get Free Access to our Flagship Strategy Program for the duration of the lockdown. Access The Program Now >>>

About this blog

This blog is aimed at helping you become more strategic in your orientation. Here you will find strategy education, tools, insights, research and ideas  on your path to becoming strategic.

READ A CHAPTER OF THE DARK SIDE OF INNOVATION 

Recent Posts

  • Lessons in Survival from the Ruins of Pompeii March 7, 2021
  • Why Strategy Simulation Is a Powerful Strategic Thinking and Strategy Development Tool? February 16, 2021
  • How To Leverage Your Strategy Reviews? February 1, 2021
  • The Single Biggest Weakness of Corporate Training Programs January 9, 2021
  • Where the Best and the Brightest are Most Vulnerable January 4, 2021
  • The Three Mistakes People Make With Business Case Method November 29, 2020
  • How a little guy will eat your lunch and run away with your business October 25, 2020
  • How to Deal With Ambiguity? August 25, 2020
  • How to Develop a Strategic Mind? April 20, 2020
  • Do you have a data-driven strategy? February 29, 2020

Want to Develop Strategic Thinking Skills?

Get Free Access to our Flagship Strategy Program for the duration of the lockdown. Access The Program Now >>>

RESOURCES

  • Ten Books That Shaped My Thinking
  • How to Deal With Ambiguity?
  • How to Introduce Yourself?
  • How To Build A Data-Driven Strategy?
  • Thin Slicing: Decision Making with Very Little Information
  • Innovation Quick Bites
  • Ten types of innovations
  • Understand Your Mental Models

LINKS

  • Speaking
  • Work With Me
  • Media Appearances
  • Awards and Publications
  • About Me
  • Books
  • Become a Strategist
  • Blog
  • Academy

Recent Blog posts

  • Lessons in Survival from the Ruins of Pompeii
  • Why Strategy Simulation Is a Powerful Strategic Thinking and Strategy Development Tool?
  • How To Leverage Your Strategy Reviews?
  • The Single Biggest Weakness of Corporate Training Programs
  • Where the Best and the Brightest are Most Vulnerable
  • The Three Mistakes People Make With Business Case Method

THE AGE OF DISRUPTION

What is the Age of Disruption?

Three Forces Driving The Age of Disruption

How To Deal With The Age of Disruption?

CONTACT

  • 617-800-9213
  • [email protected]
Copyright © 2016-2021, Ankush Chopra. All Rights Reserved. Terms and Conditions