Perhaps the most confounding characteristic of the competitive marketplace is that everyone wants a piece of the action. If a firm successfully enters a new market, creates a new product, or designs new innovations for an existing product, it’s just a matter of time before competitors follow suit. And the influx of competition inevitably places downward pressure on both price and profitability. Whether you’re an economics student or a manager with absolutely no background in economics, this book will help you make better decisions and learn more about the Five Forces Model, first published in 1979 by Harvard economist Michael Porter, which identifies the characteristics that can help insulate a firm from competitive forces. Unlike most managerial economics textbooks that devote an inordinate amount of space to elements of theory of a firm (which is a bit useful to economics as a social science), this book brings microeconomic theory into the world of the business manager rather than the other way around. Marburger believes if an element of theory has no practical application, there is no reason to discuss it. In short, Marburger’s intent is to expound on microeconomic theory that can be taken back to the office and put into use.
Table of Contents
- List of Firms/Products
- Part I If You Could Choose Any Price, What Would It Be? Fundamentals for the Single Price Firm
- Chapter 1 Economics and the Business Manager: What Is Economics All About?
- Chapter 2 The Shareholders Want Their Profits, and They Want Them Now: Short-Run Profit Maximization for the Firm
- Part II What Does Five Forces Model Say About Your Firm?
- Chapter 3 Warning: Cheaper Substitutes Are Hazardous to Your Profits
- Chapter 4 We Could Make More Money If Our Competitors Would Just Go Away
- Chapter 5 Is My Supplier Holding Five Aces?: The Bargaining Power of Suppliers
- Chapter 6 When the Buyer Holds Six Aces: The Bargaining Power of Buyers
- Chapter 7 How to Keep Firms from Beating Each Other Up
- Appendix I: How Strong Is Your Firm’s Competitive Advantage?: Summary of Factors and Strategies
- Appendix II: Relevant Published Case Studies
- Last Page
- Title: How Strong Is Your Firm’s Competitive Advantage?
- Release date: November 2012
- Publisher(s): Business Expert Press
- ISBN: 9781606493793