Chapter 3: Micro Foundations of Firm’s Advantage – Dynamic Capabilities View
In a previous chapter, we learnt about resource-based view (RBV), knowledge-based view (KBV) and core competence view (CCV) hypotheses. A major limitation of these hypotheses is that they are not designed for the VUCA world – the world that is volatile, uncertain, complex and ambiguous. Therefore, they do not consider the entropy factors – the factors that act as disruptive forces in highly dynamic markets. In this chapter, we will examine three of the most important entry factors:
· mainstreaming of non-consumers, i.e. the rise of new groups of customers served using alternative sets of resources, knowledge and/or core competencies.
· political power play, i.e. the role of non-market – often government-supported - factors in enabling competing firms to develop alternative sets of resources, knowledge and/or core competencies.
· globalization games, i.e. the shifts in the advantages of different national markets, and as a consequence of the firms having investments in those markets.
Micro foundations of firm’s advantage refer to the structures, processes and behaviors that help firms navigate the VUCA world. Development of appropriate structures, processes and behaviors that are in tune with the VUCA world allows firms to be dynamic in their capability. Dynamic capability is the capability for recognizing and responding or adapting to significant market change. Dynamic capability view (DCV) hypothesis of strategic action is intended to help firms stay relevant and is of strategic advantage for larger corporates and their stakeholders.
In this chapter, we will also learn about different types of marketplaces, and how to classify these marketplaces using the niche density (number of firms in a marketplace) and carrying capacity (size of the market) approaches. It is important to recognize the link between the concept of dynamic capability and the type of marketplaces. By operating in different types of marketplaces across different business divisions or regional geographies, the firms may be able to gain experience and develop structures, processes, and behaviors to not only survive but also thrive in a VUCA world.
Exhibit 3.x illustrates the evolution of DCV, based on the refinements of RBV, KBV and CCV. KBV distinguishes capabilities (and knowledge-base of the capabilities) from resources. CCV distinguishes core competencies (creative integration and innovative combination of knowledge) from ordinary capabilities (articulation and replication of knowledge). DCV distinguishes transforming capabilities, from core competencies.
Exhibit 3.x: Refinements in RBV, KBV and CCV Bring DCV in Perspective
Entropy Mechanisms under Dynamic Environments
We need a significant revision in the original elitist assumptions of the RBV, KBV and CCV, to account for the success of firms in face of the environmental crisis and dynamism in the 21st century. R ...
Tuesday's Leaders. Growing When Your Industry Doesn’t from Strategy+ Business.BURESI
1) The article discusses how some companies are able to achieve above-average growth and shareholder returns even when competing in slow-growing or below-average industries. These "winners" are able to take market share from competitors profitably through unique advantages in areas like quality, selection, cost, service, or functionality.
2) Two examples are given of companies that created "disequilibrium" in their industries through superior offerings - Blockbuster Video dominated the movie rental industry in the 1980s-1990s through well-organized stores and customer data, and Polaris Industries grew in the leisure equipment sector through innovative products.
3) To sustain an advantage, market leaders must manage industry ecosystems to their benefit
This document provides an overview and summaries of articles in the McKinsey on Semiconductors publication. It discusses challenges facing the semiconductor industry, including increasing consolidation, the evolving role of China, and difficulties keeping up with demand for new products. Specific articles summarized include those on creating value in the industry, challenges in China, barriers to LED adoption, business model evolution, impacts of 300mm manufacturing on analog semiconductors, improving supply chains, effective pricing strategies, reducing R&D time and costs, and managing process variability. The introduction emphasizes that while the industry contributes greatly to economic growth, most players capture only a small percentage of the value created and the industry overall destroyed value from 1996-2009 excluding Intel. Facing
Post-Industrial Concepts and Possibilities: An Argumentative ReportEdneil Jocusol
In this presentation, we'll discuss the points elaborated by Mark Poster (1990) and Fred Block (1990) in their books about Post-Industrial Society. This period of time tackles the generation and working environment after the Industrial Age. There are numerous misinterpretations and gray areas, both economic and social in nature, that need to be addressed and contextualized in the Modern Era such as the concepts of liberalism, free-market, metatheory, Neo-classical economics, and the Information Age. This presentation was discussed during one of the discourses in UP-Diliman Technology Management Center's subject TM281, otherwise known as Strategic Technology Planning.
This document provides an overview of small scale industries (SSI) in India. It defines SSI as industries with investments up to Rs. 5 crore that are generally labor intensive. SSIs play an important role in employment creation and economic development in India due to their flexibility, use of local resources, and potential for exports. The document discusses the types of SSIs and provides examples. It also outlines the rationale for promoting SSIs, including their employment potential, ability to decentralize industries, and utilize latent resources. SSIs contribute significantly to India's total production and exports.
This document provides an overview of the debate around "killer acquisitions" in the digital age. It outlines three hypotheses regarding killer acquisitions: 1) the target start-up may not have survived without acquisition, 2) the start-up may not have developed into a substantial competitor, and 3) a corporate investor would likely want the start-up to be complementary rather than competitive. The document argues the killer acquisition conjecture requires these hypotheses to be untrue. It provides context from literature and proposes examining evidence regarding target survivability, emergence as a competitor, and post-acquisition complementarity to evaluate merger cases.
This document discusses innovations in distribution strategies. It begins by introducing disruptive innovations in distribution like digitalization of retailing and the Internet of Things. It then examines best practices in distribution across industries like FMCG, tourism, and banking. Next, it analyzes innovative distribution strategies of companies like Asian Paints, Hindustan Unilever Limited, and Tesco South Korea. Finally, it discusses different metrics to evaluate distribution performance related to service, inventory, and speed.
Tuesday's Leaders. Growing When Your Industry Doesn’t from Strategy+ Business.BURESI
1) The article discusses how some companies are able to achieve above-average growth and shareholder returns even when competing in slow-growing or below-average industries. These "winners" are able to take market share from competitors profitably through unique advantages in areas like quality, selection, cost, service, or functionality.
2) Two examples are given of companies that created "disequilibrium" in their industries through superior offerings - Blockbuster Video dominated the movie rental industry in the 1980s-1990s through well-organized stores and customer data, and Polaris Industries grew in the leisure equipment sector through innovative products.
3) To sustain an advantage, market leaders must manage industry ecosystems to their benefit
This document provides an overview and summaries of articles in the McKinsey on Semiconductors publication. It discusses challenges facing the semiconductor industry, including increasing consolidation, the evolving role of China, and difficulties keeping up with demand for new products. Specific articles summarized include those on creating value in the industry, challenges in China, barriers to LED adoption, business model evolution, impacts of 300mm manufacturing on analog semiconductors, improving supply chains, effective pricing strategies, reducing R&D time and costs, and managing process variability. The introduction emphasizes that while the industry contributes greatly to economic growth, most players capture only a small percentage of the value created and the industry overall destroyed value from 1996-2009 excluding Intel. Facing
Post-Industrial Concepts and Possibilities: An Argumentative ReportEdneil Jocusol
In this presentation, we'll discuss the points elaborated by Mark Poster (1990) and Fred Block (1990) in their books about Post-Industrial Society. This period of time tackles the generation and working environment after the Industrial Age. There are numerous misinterpretations and gray areas, both economic and social in nature, that need to be addressed and contextualized in the Modern Era such as the concepts of liberalism, free-market, metatheory, Neo-classical economics, and the Information Age. This presentation was discussed during one of the discourses in UP-Diliman Technology Management Center's subject TM281, otherwise known as Strategic Technology Planning.
This document provides an overview of small scale industries (SSI) in India. It defines SSI as industries with investments up to Rs. 5 crore that are generally labor intensive. SSIs play an important role in employment creation and economic development in India due to their flexibility, use of local resources, and potential for exports. The document discusses the types of SSIs and provides examples. It also outlines the rationale for promoting SSIs, including their employment potential, ability to decentralize industries, and utilize latent resources. SSIs contribute significantly to India's total production and exports.
This document provides an overview of the debate around "killer acquisitions" in the digital age. It outlines three hypotheses regarding killer acquisitions: 1) the target start-up may not have survived without acquisition, 2) the start-up may not have developed into a substantial competitor, and 3) a corporate investor would likely want the start-up to be complementary rather than competitive. The document argues the killer acquisition conjecture requires these hypotheses to be untrue. It provides context from literature and proposes examining evidence regarding target survivability, emergence as a competitor, and post-acquisition complementarity to evaluate merger cases.
This document discusses innovations in distribution strategies. It begins by introducing disruptive innovations in distribution like digitalization of retailing and the Internet of Things. It then examines best practices in distribution across industries like FMCG, tourism, and banking. Next, it analyzes innovative distribution strategies of companies like Asian Paints, Hindustan Unilever Limited, and Tesco South Korea. Finally, it discusses different metrics to evaluate distribution performance related to service, inventory, and speed.
This document discusses innovation as the main driver of ICT cluster development and renewal. It defines what a cluster is and provides examples like Silicon Valley. Clusters provide access to human capital, information, and specialized suppliers. Key success factors for developing ICT clusters include a strong innovation base, large firms, infrastructure, access to markets and capital. Soft factors like entrepreneurial culture and partnerships are also important. Public policies can support clusters by building technology parks, incubators, and funding R&D. The document emphasizes that innovation through product development and research is vital for dynamic ICT clusters to remain competitive.
The document provides an overview of IFS Equity Research Group's resources and services. It describes the team of 8 seasoned analysts and their open-source research process. It outlines the firm's thematic approach focusing on disruptive technologies in industrial, IT, healthcare, and other sectors. The document also profiles over 120 covered companies and sectors they operate in.
The document discusses concepts related to innovation and entrepreneurship including:
- The difference between invention and innovation, and inventor vs entrepreneur.
- Joseph Schumpeter's concept of "creative destruction" where new innovations destroy existing business models.
- Examples of creative destruction in industries like media and fast food news delivery.
- The Ansoff Matrix which outlines four strategies for business growth: market penetration, market development, product development, and diversification.
- How traditional mobile phone industry structure stifled innovation but a new ecosystem has emerged to enable more innovation.
IDEO faces a decision about whether to shortcut its product development process to meet a client's timeline or request an extension to do a complete development. The client, Handspring, wants IDEO to create a competitor to the Palm V, which IDEO previously developed. IDEO must decide how to reconfigure a palm-like product that meets Handspring's desire for a lower-cost device with interchangeable cards and an enhanced design to appeal to more customers. The team leader must decide whether to accept the timeline constraints.
Awareness of the fi ve forces can help a company understand th.docxrock73
Awareness of the fi ve forces can help a company understand the structure of its
industry and stake out a position that is more profi table and less vulnerable to attack.
78 Harvard Business Review | January 2008 | hbr.org
1808 Porter.indd 781808 Porter.indd 78 12/5/07 5:33:57 PM12/5/07 5:33:57 PM
P
e
te
r
C
ro
w
th
e
r
Editor’s Note: In 1979, Harvard Business Review
published “How Competitive Forces Shape Strat-
egy” by a young economist and associate professor,
Michael E. Porter. It was his fi rst HBR article, and it
started a revolution in the strategy fi eld. In subsequent
decades, Porter has brought his signature economic
rigor to the study of competitive strategy for corpora-
tions, regions, nations, and, more recently, health care
and philanthropy. “Porter’s fi ve forces” have shaped a
generation of academic research and business practice.
With prodding and assistance from Harvard Business
School Professor Jan Rivkin and longtime colleague
Joan Magretta, Porter here reaffi rms, updates, and
extends the classic work. He also addresses common
misunderstandings, provides practical guidance for
users of the framework, and offers a deeper view of
its implications for strategy today.
THE FIVE
COMPETITIVE
FORCES THAT
by Michael E. Porter
hbr.org | January 2008 | Harvard Business Review 79
SHAPE
IN ESSENCE, the job of the strategist is to under-
STRATEGYSTRATEGY
stand and cope with competition. Often, however,
managers defi ne competition too narrowly, as if
it occurred only among today’s direct competi-
tors. Yet competition for profi ts goes beyond es-
tablished industry rivals to include four other
competitive forces as well: customers, suppliers,
potential entrants, and substitute products. The
extended rivalry that results from all fi ve forces
defi nes an industry’s structure and shapes the
nature of competitive interaction within an
industry.
As different from one another as industries
might appear on the surface, the underlying driv-
ers of profi tability are the same. The global auto
industry, for instance, appears to have nothing
in common with the worldwide market for art
masterpieces or the heavily regulated health-care
1808 Porter.indd 791808 Porter.indd 79 12/5/07 5:34:06 PM12/5/07 5:34:06 PM
LEADERSHIP AND STRATEGY | The Five Competitive Forces That Shape Strategy
80 Harvard Business Review | January 2008 | hbr.org
delivery industry in Europe. But to under-
stand industry competition and profi tabil-
ity in each of those three cases, one must
analyze the industry’s underlying struc-
ture in terms of the fi ve forces. (See the ex-
hibit “The Five Forces That Shape Industry
Competition.”)
If the forces are intense, as they are in
such industries as airlines, textiles, and ho-
tels, almost no company earns attractive re-
turns on investment. If the forces are benign,
as they are in industries such a ...
Awareness of the fi ve forces can help a company understand th.docxcelenarouzie
Awareness of the fi ve forces can help a company understand the structure of its
industry and stake out a position that is more profi table and less vulnerable to attack.
78 Harvard Business Review | January 2008 | hbr.org
1808 Porter.indd 781808 Porter.indd 78 12/5/07 5:33:57 PM12/5/07 5:33:57 PM
P
e
te
r
C
ro
w
th
e
r
Editor’s Note: In 1979, Harvard Business Review
published “How Competitive Forces Shape Strat-
egy” by a young economist and associate professor,
Michael E. Porter. It was his fi rst HBR article, and it
started a revolution in the strategy fi eld. In subsequent
decades, Porter has brought his signature economic
rigor to the study of competitive strategy for corpora-
tions, regions, nations, and, more recently, health care
and philanthropy. “Porter’s fi ve forces” have shaped a
generation of academic research and business practice.
With prodding and assistance from Harvard Business
School Professor Jan Rivkin and longtime colleague
Joan Magretta, Porter here reaffi rms, updates, and
extends the classic work. He also addresses common
misunderstandings, provides practical guidance for
users of the framework, and offers a deeper view of
its implications for strategy today.
THE FIVE
COMPETITIVE
FORCES THAT
by Michael E. Porter
hbr.org | January 2008 | Harvard Business Review 79
SHAPE
IN ESSENCE, the job of the strategist is to under-
STRATEGYSTRATEGY
stand and cope with competition. Often, however,
managers defi ne competition too narrowly, as if
it occurred only among today’s direct competi-
tors. Yet competition for profi ts goes beyond es-
tablished industry rivals to include four other
competitive forces as well: customers, suppliers,
potential entrants, and substitute products. The
extended rivalry that results from all fi ve forces
defi nes an industry’s structure and shapes the
nature of competitive interaction within an
industry.
As different from one another as industries
might appear on the surface, the underlying driv-
ers of profi tability are the same. The global auto
industry, for instance, appears to have nothing
in common with the worldwide market for art
masterpieces or the heavily regulated health-care
1808 Porter.indd 791808 Porter.indd 79 12/5/07 5:34:06 PM12/5/07 5:34:06 PM
LEADERSHIP AND STRATEGY | The Five Competitive Forces That Shape Strategy
80 Harvard Business Review | January 2008 | hbr.org
delivery industry in Europe. But to under-
stand industry competition and profi tabil-
ity in each of those three cases, one must
analyze the industry’s underlying struc-
ture in terms of the fi ve forces. (See the ex-
hibit “The Five Forces That Shape Industry
Competition.”)
If the forces are intense, as they are in
such industries as airlines, textiles, and ho-
tels, almost no company earns attractive re-
turns on investment. If the forces are benign,
as they are in industries such a.
The Rise Of Two-sided Marketplaces Bridging Gaps, Creating Opportunities.pdfBitCot
Two-sided marketplaces are breaking down barriers to entry, democratizing access to markets for businesses of all sizes. In the past, smaller players struggled to compete with larger corporations due to limited resources and distribution channels. However, platforms like Airbnb and Etsy provide a level playing field, allowing entrepreneurs to showcase their offerings to a global audience without the need for significant upfront investment.
The document discusses similarities and differences between monopolistic competition and Islamic economics. Both allow for free entry and exit of firms in the long run, and both see some role for government involvement. However, they differ in their views on pricing of goods, welfare of society, and advertising. Specifically, Islamic economics aims to maximize social welfare rather than just firm profits, and prohibits certain types of advertising.
The document provides a regularly updated collection of interesting and important tech and VC news items. It summarizes several recent news stories, including:
- Growing calls for tools to detect, understand, and defend against AI as advances make it possible to generate indistinguishable digital media and AI impacts more decisions. There is an opportunity for startups in "explainable AI".
- Questions around whether Facebook can be "fixed" given that its advertising model creates users as the product. Changes may undermine the business model.
- The Economist argues that tech monopolies ultimately stifle innovation and consumers. Proposed solutions include greater scrutiny of mergers and enforcing consumer ownership of data.
- Despite Amazon and Alib
This document discusses how some companies have achieved unprecedented power and success by leveraging three new forms of capital: behavior capital, cognitive capital, and network capital. It provides examples of how companies like Amazon, Google, and healthcare consortia are using these new sources of capital to transform industries. The document argues that to thrive in this new "bionic" business environment, all companies will need to undergo a transformation and reinvent what they do and who they benefit by shifting from a supply-oriented to demand-oriented approach, treating knowledge as flows rather than stocks, and adopting a platform business model.
Awareness of the fi ve forces can help a company understand thkacie8xcheco
Awareness of the fi ve forces can help a company understand the structure of its
industry and stake out a position that is more profi table and less vulnerable to attack.
78 Harvard Business Review | January 2008 | hbr.org
1808 Porter.indd 781808 Porter.indd 78 12/5/07 5:33:57 PM12/5/07 5:33:57 PM
P
et
er
C
ro
w
th
er
Editor’s Note: In 1979, Harvard Business Review
published “How Competitive Forces Shape Strat-
egy” by a young economist and associate professor,
Michael E. Porter. It was his fi rst HBR article, and it
started a revolution in the strategy fi eld. In subsequent
decades, Porter has brought his signature economic
rigor to the study of competitive strategy for corpora-
tions, regions, nations, and, more recently, health care
and philanthropy. “Porter’s fi ve forces” have shaped a
generation of academic research and business practice.
With prodding and assistance from Harvard Business
School Professor Jan Rivkin and longtime colleague
Joan Magretta, Porter here reaffi rms, updates, and
extends the classic work. He also addresses common
misunderstandings, provides practical guidance for
users of the framework, and offers a deeper view of
its implications for strategy today.
THE FIVE
COMPETITIVE
FORCES THAT
by Michael E. Porter
hbr.org | January 2008 | Harvard Business Review 79
SHAPE
IN ESSENCE, the job of the strategist is to under-
STRATEGYSTRATEGY
stand and cope with competition. Often, however,
managers defi ne competition too narrowly, as if
it occurred only among today’s direct competi-
tors. Yet competition for profi ts goes beyond es-
tablished industry rivals to include four other
competitive forces as well: customers, suppliers,
potential entrants, and substitute products. The
extended rivalry that results from all fi ve forces
defi nes an industry’s structure and shapes the
nature of competitive interaction within an
industry.
As different from one another as industries
might appear on the surface, the underlying driv-
ers of profi tability are the same. The global auto
industry, for instance, appears to have nothing
in common with the worldwide market for art
masterpieces or the heavily regulated health-care
1808 Porter.indd 791808 Porter.indd 79 12/5/07 5:34:06 PM12/5/07 5:34:06 PM
LEADERSHIP AND STRATEGY | The Five Competitive Forces That Shape Strategy
80 Harvard Business Review | January 2008 | hbr.org
delivery industry in Europe. But to under-
stand industry competition and profi tabil-
ity in each of those three cases, one must
analyze the industry’s underlying struc-
ture in terms of the fi ve forces. (See the ex-
hibit “The Five Forces That Shape Industry
Competition.”)
If the forces are intense, as they are in
such industries as airlines, textiles, and ho-
tels, almost no company earns attractive re-
turns on investment. If the forces are benign,
as they are in industries such as software,
soft drinks, an ...
TitleABC123 Version X1Knowledge Management DiagramT.docxherthalearmont
This document summarizes an article about innovations emerging from bottom of the pyramid (BOP) markets. It discusses how focusing on the 4As of awareness, access, affordability and availability can create opportunities for innovation within constraints. It provides an example of developing a biomass stove for rural poor in India. Key details include:
- BOP markets consist of over 4 billion people living on less than $2/day and represent a $5 trillion market.
- Innovating for BOP requires focusing on 4As rather than traditional 4Ps of marketing.
- The biomass stove project aimed to design an aspirational, safe, scalable and affordable stove within a constrained "innovation sandbox".
The document summarizes a presentation on the state of the high technology semiconductor industry. It discusses that the industry has undergone significant changes including moving value from hardware to software. It also explores trends like consolidation, outsourcing manufacturing to foundries, and the growth of the fabless business model. It concludes that continued demand driven by data, connectivity, entertainment and other factors could help drive a resurgence in the industry.
The document discusses Disney's strategy of vertical integration. It explains that vertical integration has allowed Disney to have greater control over its value chain from production to distribution to merchandise. Some examples of Disney's vertical integration strategies mentioned include creating its own distribution firm Buena Vista Distribution in 1953 and acquiring ABC in 1995 to gain another broadcasting platform. The document also briefly discusses Disney's home video division and internet strategies as further examples of its vertical integration approach.
This document summarizes the key findings from a study by the IBM Institute for Business Value on changing competitive dynamics. The study surveyed over 5,000 C-suite executives from various industries. The main findings are:
1) Executives see industry convergence and digital invaders as major threats, as boundaries between industries blur and new entrants disrupt traditional value chains.
2) Technology factors and market changes are transforming the competitive landscape at an unprecedented rate, making it difficult for companies to predict threats.
3) To adapt, executives plan to focus more on customers as individuals, access external innovation through partnerships, and decentralize decision-making to respond faster to changes.
This document summarizes the key findings from a study by the IBM Institute for Business Value on changing competitive dynamics. The study surveyed over 5,000 C-suite executives from various industries. The main findings are:
1) Executives see industry convergence and digital invaders as major threats, as boundaries between industries blur and new entrants disrupt traditional value chains.
2) Technology factors and market changes are transforming the competitive landscape at an unprecedented rate, making it difficult for companies to predict threats.
3) To prepare for disruption, executives plan to focus more on customers as individuals, access external innovation through partnerships, and decentralize decision-making.
A research report from Ericsson and Imperial College London provides an overview of the key technological drivers currently shaping the future of media production, distribution and consumption.
ENG315 Professional Scenarios
1. Saban is a top performing industrial equipment salesperson for D2D. After three years of working with his best client, he receives a text message from Pat (his direct manager) assigning him to a completely different account.
Pat has received complaints that Saban gets all of the good clients and is not a “team player.”
Saban responds to the message and asks for a meeting with Pat to discuss this change. Pat responds with another text message that reads: “Decision final. Everyone needs to get a chance to work with the best accounts so it is fair. Come by the office and pick up your new files.”
Moments later, Saban sends a text message to Karen, his regional manager and Pat’s boss. It simply reads, “We need to talk.”
2. Amber, Savannah, and Stephen work for Knowledge, Inc. (a consulting company). While on a conference call with Tim Rice Photography (an established client), the group discusses potential problems with a marketing campaign. Tim Rice, lead photographer and owner of Tim Rice Photography, is insistent the marketing is working and changes are not needed.
Amber reaches over to put Tim on “Mute” but accidently pushes a different button. She immediately says to Savannah and Stephen that the marketing campaign is not working and that “…Tim should stick to taking pretty pictures.”
Tim responds, “You know I can hear you, right?”
3. James shows up to work approximately five minutes late this morning, walks silently (but quickly) down the hallway and begins to punch in at the time clock located by the front desk.
Sarah, the front desk manager, says, "Good morning, James," but James ignores her, punches in, and heads into the shop to his workplace. Sarah rolls her eyes, picks up the phone, and dials the on-duty manager to alert her that James just arrived and should be reaching his desk any moment.
4. Paul works for the website division of SuperMega retail company. He receives an email late Friday afternoon that explains a new computer will launch at the end of next June and it will be in high demand with limited stock. Also contained in the three-page-message is that customers will be able to preorder the item 30 days before launch according to the production company. Paul is asked to create a landing page for consumers who are interested in learning more about the product.
By mistake, Paul sets up a preorder page for the product that afternoon (well in advance of the company authorized period) and late Friday evening consumers begin to preorder the product. Sharon, Vice President of Product Sales at SuperMega, learns of the error Saturday morning and calls Paul to arrange a meeting first thing Monday morning. Sharon explains to Paul on the phone that the company intends on canceling all of the preorders and Paul responds that the company should honor the preorders because it was not a consumer error. After a heated exchange, Paul hangs up on Sharon when she in.
ENG122 – Research Paper Peer Review InstructionsApply each of .docxchristinemaritza
ENG122 – Research Paper Peer Review Instructions
Apply each of the following questions to the paper you’ve selected to read. Provide thorough and thoughtful answers so the author can easily and appropriately revise.
Who is the main audience of this paper?
What is the main idea presented herein?
What information does the reader need to know about the idea for it to make sense?
Are examples clear and appropriate?
Is evidence or support for any claims provided?
Is the topic appropriate to the writing assignment? Does it need to be more general? More focused?
Are writer’s points organized in a logical way?
.
ENG122 – Research Paper Peer Review InstructionsApply each of th.docxchristinemaritza
ENG122 – Research Paper Peer Review Instructions
Apply each of the following questions to the paper you’ve selected to read. Provide thorough and thoughtful answers so the author can easily and appropriately revise.
Who is the main audience of this paper?
What is the main idea presented herein?
What information does the reader need to know about the idea for it to make sense?
Are examples clear and appropriate?
Is evidence or support for any claims provided?
Is the topic appropriate to the writing assignment? Does it need to be more general? More focused?
Are writer’s points organized in a logical way?
.
This document provides instructions for Assignment 2.1: Stance Essay Draft in an ENG 115 course. Students are asked to write a 3-4 page stance essay arguing a position on a topic and supporting it with evidence from the required WebText sources. The document outlines the requirements for the essay, including using third person point of view and a formal tone, writing an introduction with a clear thesis statement, including supporting paragraphs for each thesis point, using effective transitions and logical organization, and concluding in a way that leaves a lasting impression. Students are evaluated based on meeting criteria in these areas as well as applying proper grammar, mechanics, punctuation, and formatting according to SWS guidelines.
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This document discusses innovation as the main driver of ICT cluster development and renewal. It defines what a cluster is and provides examples like Silicon Valley. Clusters provide access to human capital, information, and specialized suppliers. Key success factors for developing ICT clusters include a strong innovation base, large firms, infrastructure, access to markets and capital. Soft factors like entrepreneurial culture and partnerships are also important. Public policies can support clusters by building technology parks, incubators, and funding R&D. The document emphasizes that innovation through product development and research is vital for dynamic ICT clusters to remain competitive.
The document provides an overview of IFS Equity Research Group's resources and services. It describes the team of 8 seasoned analysts and their open-source research process. It outlines the firm's thematic approach focusing on disruptive technologies in industrial, IT, healthcare, and other sectors. The document also profiles over 120 covered companies and sectors they operate in.
The document discusses concepts related to innovation and entrepreneurship including:
- The difference between invention and innovation, and inventor vs entrepreneur.
- Joseph Schumpeter's concept of "creative destruction" where new innovations destroy existing business models.
- Examples of creative destruction in industries like media and fast food news delivery.
- The Ansoff Matrix which outlines four strategies for business growth: market penetration, market development, product development, and diversification.
- How traditional mobile phone industry structure stifled innovation but a new ecosystem has emerged to enable more innovation.
IDEO faces a decision about whether to shortcut its product development process to meet a client's timeline or request an extension to do a complete development. The client, Handspring, wants IDEO to create a competitor to the Palm V, which IDEO previously developed. IDEO must decide how to reconfigure a palm-like product that meets Handspring's desire for a lower-cost device with interchangeable cards and an enhanced design to appeal to more customers. The team leader must decide whether to accept the timeline constraints.
Awareness of the fi ve forces can help a company understand th.docxrock73
Awareness of the fi ve forces can help a company understand the structure of its
industry and stake out a position that is more profi table and less vulnerable to attack.
78 Harvard Business Review | January 2008 | hbr.org
1808 Porter.indd 781808 Porter.indd 78 12/5/07 5:33:57 PM12/5/07 5:33:57 PM
P
e
te
r
C
ro
w
th
e
r
Editor’s Note: In 1979, Harvard Business Review
published “How Competitive Forces Shape Strat-
egy” by a young economist and associate professor,
Michael E. Porter. It was his fi rst HBR article, and it
started a revolution in the strategy fi eld. In subsequent
decades, Porter has brought his signature economic
rigor to the study of competitive strategy for corpora-
tions, regions, nations, and, more recently, health care
and philanthropy. “Porter’s fi ve forces” have shaped a
generation of academic research and business practice.
With prodding and assistance from Harvard Business
School Professor Jan Rivkin and longtime colleague
Joan Magretta, Porter here reaffi rms, updates, and
extends the classic work. He also addresses common
misunderstandings, provides practical guidance for
users of the framework, and offers a deeper view of
its implications for strategy today.
THE FIVE
COMPETITIVE
FORCES THAT
by Michael E. Porter
hbr.org | January 2008 | Harvard Business Review 79
SHAPE
IN ESSENCE, the job of the strategist is to under-
STRATEGYSTRATEGY
stand and cope with competition. Often, however,
managers defi ne competition too narrowly, as if
it occurred only among today’s direct competi-
tors. Yet competition for profi ts goes beyond es-
tablished industry rivals to include four other
competitive forces as well: customers, suppliers,
potential entrants, and substitute products. The
extended rivalry that results from all fi ve forces
defi nes an industry’s structure and shapes the
nature of competitive interaction within an
industry.
As different from one another as industries
might appear on the surface, the underlying driv-
ers of profi tability are the same. The global auto
industry, for instance, appears to have nothing
in common with the worldwide market for art
masterpieces or the heavily regulated health-care
1808 Porter.indd 791808 Porter.indd 79 12/5/07 5:34:06 PM12/5/07 5:34:06 PM
LEADERSHIP AND STRATEGY | The Five Competitive Forces That Shape Strategy
80 Harvard Business Review | January 2008 | hbr.org
delivery industry in Europe. But to under-
stand industry competition and profi tabil-
ity in each of those three cases, one must
analyze the industry’s underlying struc-
ture in terms of the fi ve forces. (See the ex-
hibit “The Five Forces That Shape Industry
Competition.”)
If the forces are intense, as they are in
such industries as airlines, textiles, and ho-
tels, almost no company earns attractive re-
turns on investment. If the forces are benign,
as they are in industries such a ...
Awareness of the fi ve forces can help a company understand th.docxcelenarouzie
Awareness of the fi ve forces can help a company understand the structure of its
industry and stake out a position that is more profi table and less vulnerable to attack.
78 Harvard Business Review | January 2008 | hbr.org
1808 Porter.indd 781808 Porter.indd 78 12/5/07 5:33:57 PM12/5/07 5:33:57 PM
P
e
te
r
C
ro
w
th
e
r
Editor’s Note: In 1979, Harvard Business Review
published “How Competitive Forces Shape Strat-
egy” by a young economist and associate professor,
Michael E. Porter. It was his fi rst HBR article, and it
started a revolution in the strategy fi eld. In subsequent
decades, Porter has brought his signature economic
rigor to the study of competitive strategy for corpora-
tions, regions, nations, and, more recently, health care
and philanthropy. “Porter’s fi ve forces” have shaped a
generation of academic research and business practice.
With prodding and assistance from Harvard Business
School Professor Jan Rivkin and longtime colleague
Joan Magretta, Porter here reaffi rms, updates, and
extends the classic work. He also addresses common
misunderstandings, provides practical guidance for
users of the framework, and offers a deeper view of
its implications for strategy today.
THE FIVE
COMPETITIVE
FORCES THAT
by Michael E. Porter
hbr.org | January 2008 | Harvard Business Review 79
SHAPE
IN ESSENCE, the job of the strategist is to under-
STRATEGYSTRATEGY
stand and cope with competition. Often, however,
managers defi ne competition too narrowly, as if
it occurred only among today’s direct competi-
tors. Yet competition for profi ts goes beyond es-
tablished industry rivals to include four other
competitive forces as well: customers, suppliers,
potential entrants, and substitute products. The
extended rivalry that results from all fi ve forces
defi nes an industry’s structure and shapes the
nature of competitive interaction within an
industry.
As different from one another as industries
might appear on the surface, the underlying driv-
ers of profi tability are the same. The global auto
industry, for instance, appears to have nothing
in common with the worldwide market for art
masterpieces or the heavily regulated health-care
1808 Porter.indd 791808 Porter.indd 79 12/5/07 5:34:06 PM12/5/07 5:34:06 PM
LEADERSHIP AND STRATEGY | The Five Competitive Forces That Shape Strategy
80 Harvard Business Review | January 2008 | hbr.org
delivery industry in Europe. But to under-
stand industry competition and profi tabil-
ity in each of those three cases, one must
analyze the industry’s underlying struc-
ture in terms of the fi ve forces. (See the ex-
hibit “The Five Forces That Shape Industry
Competition.”)
If the forces are intense, as they are in
such industries as airlines, textiles, and ho-
tels, almost no company earns attractive re-
turns on investment. If the forces are benign,
as they are in industries such a.
The Rise Of Two-sided Marketplaces Bridging Gaps, Creating Opportunities.pdfBitCot
Two-sided marketplaces are breaking down barriers to entry, democratizing access to markets for businesses of all sizes. In the past, smaller players struggled to compete with larger corporations due to limited resources and distribution channels. However, platforms like Airbnb and Etsy provide a level playing field, allowing entrepreneurs to showcase their offerings to a global audience without the need for significant upfront investment.
The document discusses similarities and differences between monopolistic competition and Islamic economics. Both allow for free entry and exit of firms in the long run, and both see some role for government involvement. However, they differ in their views on pricing of goods, welfare of society, and advertising. Specifically, Islamic economics aims to maximize social welfare rather than just firm profits, and prohibits certain types of advertising.
The document provides a regularly updated collection of interesting and important tech and VC news items. It summarizes several recent news stories, including:
- Growing calls for tools to detect, understand, and defend against AI as advances make it possible to generate indistinguishable digital media and AI impacts more decisions. There is an opportunity for startups in "explainable AI".
- Questions around whether Facebook can be "fixed" given that its advertising model creates users as the product. Changes may undermine the business model.
- The Economist argues that tech monopolies ultimately stifle innovation and consumers. Proposed solutions include greater scrutiny of mergers and enforcing consumer ownership of data.
- Despite Amazon and Alib
This document discusses how some companies have achieved unprecedented power and success by leveraging three new forms of capital: behavior capital, cognitive capital, and network capital. It provides examples of how companies like Amazon, Google, and healthcare consortia are using these new sources of capital to transform industries. The document argues that to thrive in this new "bionic" business environment, all companies will need to undergo a transformation and reinvent what they do and who they benefit by shifting from a supply-oriented to demand-oriented approach, treating knowledge as flows rather than stocks, and adopting a platform business model.
Awareness of the fi ve forces can help a company understand thkacie8xcheco
Awareness of the fi ve forces can help a company understand the structure of its
industry and stake out a position that is more profi table and less vulnerable to attack.
78 Harvard Business Review | January 2008 | hbr.org
1808 Porter.indd 781808 Porter.indd 78 12/5/07 5:33:57 PM12/5/07 5:33:57 PM
P
et
er
C
ro
w
th
er
Editor’s Note: In 1979, Harvard Business Review
published “How Competitive Forces Shape Strat-
egy” by a young economist and associate professor,
Michael E. Porter. It was his fi rst HBR article, and it
started a revolution in the strategy fi eld. In subsequent
decades, Porter has brought his signature economic
rigor to the study of competitive strategy for corpora-
tions, regions, nations, and, more recently, health care
and philanthropy. “Porter’s fi ve forces” have shaped a
generation of academic research and business practice.
With prodding and assistance from Harvard Business
School Professor Jan Rivkin and longtime colleague
Joan Magretta, Porter here reaffi rms, updates, and
extends the classic work. He also addresses common
misunderstandings, provides practical guidance for
users of the framework, and offers a deeper view of
its implications for strategy today.
THE FIVE
COMPETITIVE
FORCES THAT
by Michael E. Porter
hbr.org | January 2008 | Harvard Business Review 79
SHAPE
IN ESSENCE, the job of the strategist is to under-
STRATEGYSTRATEGY
stand and cope with competition. Often, however,
managers defi ne competition too narrowly, as if
it occurred only among today’s direct competi-
tors. Yet competition for profi ts goes beyond es-
tablished industry rivals to include four other
competitive forces as well: customers, suppliers,
potential entrants, and substitute products. The
extended rivalry that results from all fi ve forces
defi nes an industry’s structure and shapes the
nature of competitive interaction within an
industry.
As different from one another as industries
might appear on the surface, the underlying driv-
ers of profi tability are the same. The global auto
industry, for instance, appears to have nothing
in common with the worldwide market for art
masterpieces or the heavily regulated health-care
1808 Porter.indd 791808 Porter.indd 79 12/5/07 5:34:06 PM12/5/07 5:34:06 PM
LEADERSHIP AND STRATEGY | The Five Competitive Forces That Shape Strategy
80 Harvard Business Review | January 2008 | hbr.org
delivery industry in Europe. But to under-
stand industry competition and profi tabil-
ity in each of those three cases, one must
analyze the industry’s underlying struc-
ture in terms of the fi ve forces. (See the ex-
hibit “The Five Forces That Shape Industry
Competition.”)
If the forces are intense, as they are in
such industries as airlines, textiles, and ho-
tels, almost no company earns attractive re-
turns on investment. If the forces are benign,
as they are in industries such as software,
soft drinks, an ...
TitleABC123 Version X1Knowledge Management DiagramT.docxherthalearmont
This document summarizes an article about innovations emerging from bottom of the pyramid (BOP) markets. It discusses how focusing on the 4As of awareness, access, affordability and availability can create opportunities for innovation within constraints. It provides an example of developing a biomass stove for rural poor in India. Key details include:
- BOP markets consist of over 4 billion people living on less than $2/day and represent a $5 trillion market.
- Innovating for BOP requires focusing on 4As rather than traditional 4Ps of marketing.
- The biomass stove project aimed to design an aspirational, safe, scalable and affordable stove within a constrained "innovation sandbox".
The document summarizes a presentation on the state of the high technology semiconductor industry. It discusses that the industry has undergone significant changes including moving value from hardware to software. It also explores trends like consolidation, outsourcing manufacturing to foundries, and the growth of the fabless business model. It concludes that continued demand driven by data, connectivity, entertainment and other factors could help drive a resurgence in the industry.
The document discusses Disney's strategy of vertical integration. It explains that vertical integration has allowed Disney to have greater control over its value chain from production to distribution to merchandise. Some examples of Disney's vertical integration strategies mentioned include creating its own distribution firm Buena Vista Distribution in 1953 and acquiring ABC in 1995 to gain another broadcasting platform. The document also briefly discusses Disney's home video division and internet strategies as further examples of its vertical integration approach.
This document summarizes the key findings from a study by the IBM Institute for Business Value on changing competitive dynamics. The study surveyed over 5,000 C-suite executives from various industries. The main findings are:
1) Executives see industry convergence and digital invaders as major threats, as boundaries between industries blur and new entrants disrupt traditional value chains.
2) Technology factors and market changes are transforming the competitive landscape at an unprecedented rate, making it difficult for companies to predict threats.
3) To adapt, executives plan to focus more on customers as individuals, access external innovation through partnerships, and decentralize decision-making to respond faster to changes.
This document summarizes the key findings from a study by the IBM Institute for Business Value on changing competitive dynamics. The study surveyed over 5,000 C-suite executives from various industries. The main findings are:
1) Executives see industry convergence and digital invaders as major threats, as boundaries between industries blur and new entrants disrupt traditional value chains.
2) Technology factors and market changes are transforming the competitive landscape at an unprecedented rate, making it difficult for companies to predict threats.
3) To prepare for disruption, executives plan to focus more on customers as individuals, access external innovation through partnerships, and decentralize decision-making.
A research report from Ericsson and Imperial College London provides an overview of the key technological drivers currently shaping the future of media production, distribution and consumption.
Similar to Chapter 3 Micro Foundations of Firm’s Advantage – Dynamic Capabil.docx (18)
ENG315 Professional Scenarios
1. Saban is a top performing industrial equipment salesperson for D2D. After three years of working with his best client, he receives a text message from Pat (his direct manager) assigning him to a completely different account.
Pat has received complaints that Saban gets all of the good clients and is not a “team player.”
Saban responds to the message and asks for a meeting with Pat to discuss this change. Pat responds with another text message that reads: “Decision final. Everyone needs to get a chance to work with the best accounts so it is fair. Come by the office and pick up your new files.”
Moments later, Saban sends a text message to Karen, his regional manager and Pat’s boss. It simply reads, “We need to talk.”
2. Amber, Savannah, and Stephen work for Knowledge, Inc. (a consulting company). While on a conference call with Tim Rice Photography (an established client), the group discusses potential problems with a marketing campaign. Tim Rice, lead photographer and owner of Tim Rice Photography, is insistent the marketing is working and changes are not needed.
Amber reaches over to put Tim on “Mute” but accidently pushes a different button. She immediately says to Savannah and Stephen that the marketing campaign is not working and that “…Tim should stick to taking pretty pictures.”
Tim responds, “You know I can hear you, right?”
3. James shows up to work approximately five minutes late this morning, walks silently (but quickly) down the hallway and begins to punch in at the time clock located by the front desk.
Sarah, the front desk manager, says, "Good morning, James," but James ignores her, punches in, and heads into the shop to his workplace. Sarah rolls her eyes, picks up the phone, and dials the on-duty manager to alert her that James just arrived and should be reaching his desk any moment.
4. Paul works for the website division of SuperMega retail company. He receives an email late Friday afternoon that explains a new computer will launch at the end of next June and it will be in high demand with limited stock. Also contained in the three-page-message is that customers will be able to preorder the item 30 days before launch according to the production company. Paul is asked to create a landing page for consumers who are interested in learning more about the product.
By mistake, Paul sets up a preorder page for the product that afternoon (well in advance of the company authorized period) and late Friday evening consumers begin to preorder the product. Sharon, Vice President of Product Sales at SuperMega, learns of the error Saturday morning and calls Paul to arrange a meeting first thing Monday morning. Sharon explains to Paul on the phone that the company intends on canceling all of the preorders and Paul responds that the company should honor the preorders because it was not a consumer error. After a heated exchange, Paul hangs up on Sharon when she in.
ENG122 – Research Paper Peer Review InstructionsApply each of .docxchristinemaritza
ENG122 – Research Paper Peer Review Instructions
Apply each of the following questions to the paper you’ve selected to read. Provide thorough and thoughtful answers so the author can easily and appropriately revise.
Who is the main audience of this paper?
What is the main idea presented herein?
What information does the reader need to know about the idea for it to make sense?
Are examples clear and appropriate?
Is evidence or support for any claims provided?
Is the topic appropriate to the writing assignment? Does it need to be more general? More focused?
Are writer’s points organized in a logical way?
.
ENG122 – Research Paper Peer Review InstructionsApply each of th.docxchristinemaritza
ENG122 – Research Paper Peer Review Instructions
Apply each of the following questions to the paper you’ve selected to read. Provide thorough and thoughtful answers so the author can easily and appropriately revise.
Who is the main audience of this paper?
What is the main idea presented herein?
What information does the reader need to know about the idea for it to make sense?
Are examples clear and appropriate?
Is evidence or support for any claims provided?
Is the topic appropriate to the writing assignment? Does it need to be more general? More focused?
Are writer’s points organized in a logical way?
.
This document provides instructions for Assignment 2.1: Stance Essay Draft in an ENG 115 course. Students are asked to write a 3-4 page stance essay arguing a position on a topic and supporting it with evidence from the required WebText sources. The document outlines the requirements for the essay, including using third person point of view and a formal tone, writing an introduction with a clear thesis statement, including supporting paragraphs for each thesis point, using effective transitions and logical organization, and concluding in a way that leaves a lasting impression. Students are evaluated based on meeting criteria in these areas as well as applying proper grammar, mechanics, punctuation, and formatting according to SWS guidelines.
ENG 510 Final Project Milestone Three Guidelines and Rubric .docxchristinemaritza
This document provides guidelines and a rubric for Milestone Three of the ENG 510 Final Project. In this milestone, students are asked to analyze both a classic and contemporary text in terms of narrative structure, character development, literary conventions, and themes. Specifically, students must analyze each text's use of conflict, crisis, resolution, and character development, relate the author's choices to literary conventions of the time period, and evaluate how each text uses these elements to create its intended theme. The submission should be 3-4 pages following specific formatting guidelines and address all critical elements outlined in the rubric.
ENG-105 Peer Review Worksheet Rhetorical Analysis of a Public.docxchristinemaritza
ENG-105 Peer Review Worksheet: Rhetorical Analysis of a Public Document
Part of your responsibility as a student in this course is to provide quality feedback to your peers that will help them to improve their writing skills. This worksheet will assist you in providing that feedback. To highlight the text and type over the information in the boxes on this worksheet, double-click on the first word.
Name of the draft’s author: Type Author Name Here
Name of the peer reviewer: Type Reviewer Name Here
Reviewer
After reading through the draft one time, write a summary (3-5 sentences) of the paper that includes your assessment of how well the essay meets the assignment requirements as specified in the syllabus and the rubric.
Type 3-5 Sentence Summary Here
After a second, closer reading of the draft, answer each of the following questions. Positive answers will give you specific elements of the draft to praise; negative answers will indicate areas in need of improvement and revision. Please be sure to indicate at least three positive aspects of the draft and at least three areas for improvement in reply to the questions at the bottom of this worksheet.
Rhetorical Analysis Content and Ideas
· How effectively does the thesis statement identify the main points that the writer would like to make about the public document he or she is analyzing?
Type Answer Here
· How successful is the writer’s summary of the public document under study?
Type Answer Here
· How effective is the writer’s explanation and evaluation of the rhetorical situation, genre, and stance?
Type Answer Here
· How persuasively is evidence used to support assertions and enrich the essay?
Type Answer Here
· How effectively does the essay’s content support the thesis by analyzing the document and evaluating its effectiveness according to strategies from chapter 8 of Writing with Purpose?
Type Answer Here
Organization
· How effectively does the introduction engage the reader while providing an overview of the paper?
Type Answer Here
· Please identify the writer’s thesis and quote it in the box below.
Type Writer's Thesis Here
· How effectively do the paragraphs develop the topic sentence and advance the essay’s ideas?
Type Answer Here
· How effectively does the conclusion provide a strong, satisfying ending, not a mere summary of the essay?
Type Answer Here
Format
· How closely does the paper follow GCU formatting style? Is it double-spaced in 12 pt. Times New Roman font? Does it have 1" margins? Does it use headers (page numbers using appropriate header function)? Does it have a proper heading (with student’s name, date, course, and instructor’s name)?
|_|Yes |_|No Add optional clarification here
· Are all information, quotations, and borrowed ideas cited in parenthetical GCU format?
|_|Yes |_|No Add optional clarification here
· Are all sources listed on the references page in GCU format?
|_|Yes |_|No Add optional clarification here
· Is the required minimum number of sources li.
ENG 272-0Objective The purpose of this essay is t.docxchristinemaritza
ENG 272-0
Objective: The purpose of this essay is to make an analytical argument about connections across texts, time periods and cultures, and to situate this argument within the context of the existing critical discourse. You will need to select 3 primary texts to actively analyze in order to develop an argument of your own; you should make an argument about, not simply summarize, the primary texts.For the primary texts, choose one (1) work from each of the three (3) columns below.
Prompt:Based on Harper Lee's Pulitzer Prize winning book of 1961, To Kill A Mockingbird is set in small-town Alabama, 1932. Atticus Finch (played by Gregory Peck) is a lawyer and a widower with two young children, Jem and Scout. Atticus Finch is currently defending Tom Robinson, a black man accused of raping a white woman. Meanwhile, Jem and Scout are intrigued by their neighbors, the Radley’s, and the mysterious, seldom-seen Boo Radley in particular. The story features a number of “mockingbirds”—those who are scorned by society unfairly, and makes timeless insights about the nature of humanity and what it means to be human.
Option 1:Reflect on the film’s assertions, and then construct a thesis and write an essay that directly cites from a minimum of three (3) different texts considered in in this class, a minimum of one from each of the three columns below.
Option 2:With Lee’s story in mind, discuss and reflect on the following questions. What are the basic rights and liberties of a human in a social democracy? What effect does dehumanization have on the victim and the perpetrator? What is society’s role in facilitating the happiness and prosperity of its members? What role does conformity and blind adherence to tradition play in perpetuating inequality? Your response should directly cite from a minimum of three (3) different texts considered in ENG 272, a minimum of one from each of the three columns below.
· The essay must be 4-6 pages (1000-1500 words), typed, double-spaced in Times New Roman 12 pt. font with 1-inch margins. Include your name, the course #, the date, and an original title on the first page (standard MLA format). You are to use no sources other than the assigned texts from the table below; therefore, a Works Cited page is not necessary!!!!
The Enlightenment
Revolutions
Modernity
Kant-“What is Enlightenment?”
Descartes-“Discourse on Method”
Diderot-Encyclopedie
Wollstonecraft—“A Vindication of the Rights of Woman”
Paine-“Common Sense”
Paine-“Age of Reason”
Jefferson: Declaration of Independence
Jefferson: “On Equality”
Declaration of Sentiments
Declaration of Rights
DeGouges: The Rights of Woman
Douglass: The Narrative of the Life of Frederick Douglass
Kafka: Metamorphosis
Whitman: “Song of Myself”
Selected Dickenson poems
Wordsworth: “The World is Too Much with Us.”
Assignment: How does the Critical Race Theory apply to the study of dismattling the
school to prison pipeline.
1. 6-7 pages
.
ENG 360 01 American PoetrySpring 2019TuesdayFriday 800 –.docxchristinemaritza
ENG 360 01 American Poetry
Spring 2019
Tuesday/Friday 8:00 – 9:15 St. Mary’s B1
Brandon Clay
Course Description:
ENG 360 is a survey of a selection of American poetry and poetics from the Puritan era to the present, showing the effects of the Romantic revolution on an American Puritan tradition and the making of a national vernacular for poetry. Students will study poetic technique and read authors such as Bradstreet, Taylor, Freneau, Emerson, Longfellow, Poe, Thoreau, Whitman, Dickinson, Robinson, Dunbar, Crane, Stein, Sandburg, Stevens, Williams, Pound, H.D., Moore, Eliot, Millay, Hughes, Cullen, Zukofsky, Auden, Roethke, Bishop, Berryman, Brooks, Lowell, Plath, Glück, Levertov, Ginsberg, Merrill, Kinnell, Rich, Pinsky, and Collins. This is a writing intensive course and it meets literature requirements for graduation.
Course Learning Outcomes:
· To become familiar with the history of and different styles of American poetry
· To develop an understanding of the historical and social frameworks in which poems are written
· To understand different critical approaches to the interpretation of poetry
· To refine the critical and analytical skills used in verbal and written discussions of poetry
· To develop an enjoyment of and appreciation for poetry
Prerequisite:
ENG 142, earning a “C” or better.
Required Text(s):
Lehman, David, ed. The Oxford Book of American Poetry. Oxford: Oxford UP, 2006.
Expected Student Behavior in Class:
All students are expected to behave in a professional and courteous manner to both the professor and other students in class, and to follow the procedures as outlined in this syllabus for this course. If the professor deems that a student has failed to adhere to this standard, the professor shall make a report to both the Dean of the School of Arts & Sciences, and the Dean of Students. Please follow all policies as written in the 2018-2019 Student Handbook.
Preparation and Active Class Participation:
Students are required to read all works for the course. Assignments must be read prior to the class in which the particular work(s) will be discussed. Papers must be written in MLA format, using and citing quotations from primary and/or secondary sources. Written work is due at the beginning of class on the due date specified on the schedule below. Major writing assignments will be submitted electronically using Moodle and Turnitin.com. Some written work may also be turned in as a hard copy. Use white paper and 12 point, Times New Roman font with one-inch margins. All papers must be stapled and (per MLA format) include name, class title, instructor name, and due date in upper left hand corner.
Note that Student Performance counts for 15% of the final grade (complete grading system described below). This is defined as how a student conducts him/herself in the class, and refers specifically to attendance, lateness, manners, and respect towards professor and fellow students. A student can expect to receive a.
ENG 4034AHamlet Final AssessmentDUE DATE WEDNESDAY, 1220, 1.docxchristinemaritza
ENG 403/4A
Hamlet Final Assessment
DUE DATE: WEDNESDAY, 12/20, 11:30 PM
At the end of the Hamlet unit, you will have two choices to earn 100 points. These choices replace the final essay test that was in the course originally. You can choose only ONE of the following options, and the due date remains the same. These activities will be graded just like the test would have been, meaning there is no chance to redo or revise the assignment. However, this will be taken into consideration when I grade them.
No matter what option you choose, it must be completed in a Word document and labeled or titled so that it is clear to your teacher which option you chose. On your document, write it as a heading, like this:
Your first and last name
Date
Name of the option you chose
Models of each assignment can be found in class announcements.
Option #1: RAFT
A RAFT is a writing assignment that encourages you to uncover your own voice and formats for presenting your ideas about the content you are studying. In this design, you have a lot of freedom to choose what interests you.
· R = Role of the writer: Who are you as the writer?
· A = Audience: To whom are you writing?
· F = Format: In what format are you writing?
· T = Topic: What are you writing about?
The process:
1. Use the chart below to choose two characters from the ROLE column. Your goal is to write in the voice (Role) of YOUR CHARACTER.
2. Using the knowledge and understanding that you have gained throughout the reading and viewing of Hamlet, choose a related Audience, Format, and Topic from the chart below.
3. As you craft your creative writing assignment, be sure the character’s personality and motivations are evident. For instance, you could choose Ophelia (role), Hamlet (audience), blog entry (format) and betrayal (theme). Then you will write a blog entry from Ophelia’s point of view with Hamlet as the intended audience focused on the theme of betrayal.
4. Next, repeat this process for a different role, audience, format and theme.
5. Please see the model below (pg. 8) to understand what to do.
6. If you are unsure of what a particular format is, the best thing to do is look up examples online.
· YOU MUST CHOOSE TWO CHARACTERS FROM THE ROLE LIST AND COMPLETE TWO DIFFERENT RAFTS. THEY WILL BE WORTH 50 POINTS EACH AND MUST BE AT LEAST 200 WORDS EACH.
· To clarify, this means two different roles, two different audiences, two different formats and two different themes.
· You may use some words from the play, but if you do they MUST be exact and put in quotation marks. The goal, however, is to use your own words. No outside sources are to be used for this assignment.
· You can choose to write about a particular scene or event, or the play as a whole.
· You are in the voice of the character, so if you choose the role of Ophelia, then you will become her (first person POV) and reflect her personality and motivations in your writing.
Role
Audience
Format
Theme
Choose the role that you .
ENG 3107 Writing for the Professions—Business & Social Scienc.docxchristinemaritza
ENG 3107: Writing for the Professions—Business & Social Sciences
Rev.6.26.18
Project 2: Memorandum
Your Strategies for Recommendation Report
OWL Draft Due Date:
Final Draft Setup Requirement:
• Polished, properly formatted, 2-page memorandum, that begins with a standard
memo heading section that contains To, From, Subject, and Date
• 12-point Times New Roman font
• Single-spaced lines
• 1st or 3rd person point of view
WHAT: Write a 2-page memorandum (memo) addressed to your course instructor as its
intended audience. The goal of your memo is to persuade your instructor to approve your
strategies for constructing your Recommendation Report, where you will identify a problem
within a specific company or organization and persuade a specific audience to take action.
You must use the Rhetorical Structure outlined in the HOW section below.
NOTE: Rather than draft a shorter version of your Recommendation Report, describe what you
intend to do to create your Recommendation Report as written below.
HOW: BRAINSTORM: Here are some suggestions from Contemporary Business Communications
(Houghton Mifflin, 2009) to prompt your thinking about possible topics for the
Recommendation Report as you develop this memo assignment (the term "ABC company" is a
generic name and cannot be used for the assignment):
• comparison of home pages on the Internet for ABC industry
• dress policy for the ABC company
• buying versus leasing computers at ABC company or university
• developing a diversity training program at ABC company
• encouraging the use of mass transit at ABC company or university
• establishing a recycling policy at ABC company
• evaluating a charity for corporate giving at ABC company
• recommending a site for the annual convention of ABC association
• starting an employee newsletter at ABC company
• starting an onsite wellness program at ABC company or university
• best online source for office supplies at ABC company
• best shipping service (e.g. UPS, USPS, FedEx)
• most appropriate laptop computer for ABC company managers who travel
ENG 3107: Writing for the Professions—Business & Social Sciences
Rev.6.26.18
RHETORICAL STRUCTURE: Use the subheadings in bold below in your memo.
• Description: What problem or challenge will you address in your Recommendation
Report? Provide an overview in two or three sentences, explaining why the memo has
been written. Why is the problem/challenge important to address?
• Objective: What should your audience know and do/change as a result of your
Recommendation Report?
• Information: What evidence will you will need to gather to support your
recommendations in the Recommendation Report? Where do you think you will find
this information? How will this information help you persuade your reader of your
recommendation? (Do not conduct any research for this memo assignment, just
describe your research plans.)
• Audience: Who is .
ENG 271Plato and Aristotlea Classical Greek philosophe.docxchristinemaritza
Plato and Aristotle were two of the most influential philosophers of Classical Greece. Plato was a student of Socrates and founded the Academy in Athens, considered the first institution of higher learning. He is known for his dialogues that explored philosophical problems through questioning. Aristotle was a student of Plato and later taught Alexander the Great. He wrote on many topics including poetry, theater, and politics. Both made major contributions to Western philosophy and how we understand concepts like knowledge, justice, and the ideal state.
ENG 315 Professional Communication Week 4 Discussion Deliver.docxchristinemaritza
ENG 315: Professional Communication
Week 4 Discussion: Delivering Bad News Messages
Delivering Bad News Messages
In the Chapter 7 reading, you learned about inductive and deductive methods of reasoning and communication. Share an example of a "bad news message" either from the text or from an online article you've seen (provide a link, please, if you choose the latter option). Explain whether you believe inductive OR deductive reasoning would be more effective to share that bad news with others and why.
After you have responded to this starter thread, don't forget to reply to at least one classmate to meet the minimum posting frequency requirement.
Student Response:
Erica Collins
RE: Week 4 Discussion: Delivering Bad News Messages
"They never gave me a fair chance," That's unfair," "This just can't be." In this case I will have to go with inductive reasoning after reviewing in some ways they are so similar to one another. Inductive reasoning is more based on uncertainty and deductive reasoning is more factual. In this case the conversation is more of an assumption.
I would think deductive would be more effective to share because deductive focus more on facts. Deductive Reasoning is the basic form of valid reasoning in my words accurate information that can be proven. Inductive reasoning is the premises in which the premises are viewed as supplying some evidence for truth. In my words this seems more of an opinion until proven. Tom me they are similar you have to really read to understand the difference of inductive and deductive reasoning.
ENG 315: Professional Communication
Due Week 4 and worth 150 points
Choose one of the professional scenarios provided in Blackboard under the Course Info tab, (see next page) or click here to view them in a new window.
Write a Block Business Letter from the perspective of company management. It must provide bad news to the recipient and follow the guidelines outlined in Chapter 7: Delivering Bad-News Messages in BCOM9 (pages 116-136).
The message should take the block business letter form from the posted example; however, you will submit your assignment to the online course shell.
The block business letter must adhere to the following requirements:
Content:
Address the communication issue from the scenario.
Provide bad news from the company to the recipient.
Concentrate on the facts of the situation and use either the inductive or deductive approach.
Assume your recipient has previously requested a review of the situation via email, letter, or personal meeting with management.
Format:
Include the proper introductory elements (sender’s address, date, recipient’s address). You may create any details necessary in the introductory elements to complete the assignment.
Provide an appropriate and professional greeting / salutation.
Single space paragraphs and double space between paragraphs.
Limit the letter to one page in length.
Clarity / Mechanics:
Focus on clarity, writing mechanics, .
ENG 315 Professional Communication Week 9Professional Exp.docxchristinemaritza
ENG 315: Professional Communication
Week 9
Professional Experience #5
Due at the end of Week 9 and worth 22 points
(Not eligible for late policy unless an approved, documented exception provided)
For Professional Experience #5, you will develop a promotional message. This can be an email, letter, info graphic, image, or any other relevant material that answers the following question:
Why should students take a Professional Communications course?
Instructions:
Step One: Choose the type of file you want to use to develop your promotional message (Word document, PowerPoint, etc.) and open a new file in that type and save to your desktop, using the following file name format:
Your_Name_Wk9_Promotion
Example: Ed_Buchanan_Wk9_Promotion
Step Two: Develop a promotional message that is no more than one page to explain why students should take a professional communications course.
Step Three: Submit your completed promotional message file for your instructor’s review using the Professional Experience #5 assignment link the Week 9 in Blackboard. Check that you have saved all changes and that your file name is follows this naming convention: Your_Name_Wk9_Promotion.
In order to receive credit for completing this task, you must:
Ensure your message is no more than one page.
Provide an effective answer to the question of why students should take a professional communication’s class.
Submit the file to Blackboard using the Professional Experience #5 link in the week 9 tab in Blackboard.
Note: This is a pass/fail assignment. All elements must be completed simulating the workplace environment where incomplete work is not accepted.
The professional experience assignments are designed to help prepare you for that environment. To earn credit, make sure you complete all elements and follow the instructions exactly as written. This is a pass/fail assignment, so no partial credit is possible. Assignments that follow directions as written will receive full credit, 22 points. Assignments that are incomplete or do not follow directions will be scored at a zero.
The specific course learning outcomes associated with this assignment are:
Plan, create, and evaluate professional documents.
Write clearly, coherently, and persuasively using proper grammar, mechanics, and formatting appropriate to the situation.
Deliver professional information to various audiences using appropriate tone, style, and format.
Learn communication fundamentals and execute various professional tasks in a collaborative manner.
Analyze professional communication examples to assist in revision.
ENG 315: Professional Communication
Week 9 Discussion: Professional Networking
Part 1:
Professional Networking
Select ONE of the following:
Discuss three (3) reasons for utilizing professional networking during the job-hunting process. Note: Some potential points to consider include: developing a professional network, experiences you had presenting your resume at a job fair, or inter.
ENG 202 Questions about Point of View in Ursula K. Le Guin’s .docxchristinemaritza
ENG 202: Questions about Point of View in Ursula K. Le Guin’s “The Wife’s Story” (284-287), Alice
Walker’s “Olive Oil” and Meron Hadero’s “The Suitcase” (both in folder) 7 questions: 50 points total
Read everything carefully. This is designed to provide a learning experience.
Writers often use one of these three types of narration:
First-person narration uses “I” because “one character is telling the story from [his/her] point
of view.” In other words, we step into the skin of this character and move through the story
seeing everything through his/her eyes alone. To best illustrate first-person narration, choose
parts of the story that show the character revealing intimate thoughts/feelings, something we
can see only by having access to his/her heart & mind. This is a useful point of view to show a
character’s change of heart, to trick a reader, and/or to make the reader realize that s/he
understands more than the narrator does.
Third-person omniscient narration: “The narrator sees into the minds of any or all of
the characters, moving when necessary from one to another.” In other words, the
narrator is god-like (all-knowing) with the ability to report on the thoughts of multiple
characters. To best illustrate omniscient third-person narration, choose parts of the
story that show characters’ private thoughts/feelings revealed only to us, not the
others. This can be a very satisfying point of view because we know what is on many or
all characters' minds and do not have to guess. This is a useful point of view to show
how events impact characters in the story.
Third-person limited narration “reduces the narrator’s scope to a single
character.” In other words, the narrator does not know all but is rather
limited to the inner thoughts of one character; however, this narrator can
also objectively report on the environment surrounding this character. To
best illustrate third-person limited, choose parts of the story that
illustrate this character’s thoughts/feelings that are only revealed to
us, not to the others; additionally, choose parts of the story that show
objective reporting of events. This is a useful point of view for stories
that highlight a dynamic between a character and the world.
Each story this week uses a different type of narration.
“The Wife’s Story” uses first-person narration: the story is told from the point of view of the
wife.
1) Quote a part of the story that proves it is written in first-person narration. To earn
full points, choose wisely. To best illustrate first-person narration, choose a part of
the story that shows the wife revealing an intimate thought/feeling, something we can
see only by having access to her heart/mind. To earn full points, achieve correct
integration, punctuation, and citation by using the format below. (8 points)
Highlighting is just for lesson clarity.
Quotation Format
The wife reveals, “Quotation” (#)..
ENG 220250 Lab Report Requirements Version 0.8 -- 0813201.docxchristinemaritza
ENG 220/250 Lab Report Requirements
Version 0.8 -- 08/13/2018
I. General Requirements
The length of a lab report must not exceed 10 typewritten pages. This
includes any and all attachments included in the report.
The font size used in the body of the report must not exceed 12 pts.
The lab report must be submitted as a single document file with all of
the required attachments included.
[Refer to Exhibit #1]
Reports submitted electronically must be in the Adobe PDF format.
For any videos submitted (online students only):
They must have a minimum video resolution of 480p.
The maximum length for any video submitted must not exceed 5
minutes.
Due to their large file size, the video files must not be sent as
email attachments.
They can be uploaded to cloud storage (Dropbox, Google Drive, One
Drive, etc.). The link to the video file can then be submitted
via email.
II. Required Attachments
MultiSim simulation screenshots
The only simulation software that can be used for any lab
assignments in this course is MultiSim.
[Refer to Exhibit #2]
The simulation(s) shown on the lab report must show the same
types of measuring instruments that were used to perform the lab.
[Refer to Exhibit #3]
The illustration(s) included in the lab report must be actual
screenshots of the circuit simulation.
[Refer to Exhibit #4]
All screenshots of circuit simulations included in the report
must show the values being measured.
[Refer to Exhibit #5]
The screenshot(s) must be included in the body of the report.
They must be properly labelled and referenced in the lab report.
Printouts from MultiSim are not acceptable.
[Refer to Exhibit #6]
Raw Data
A copy of the original hand-written data sheet that you used to
record the data must be included in the lab report.
[Refer to Exhibit #7]
If the data is recorded on the lab assignment sheet, include only
the portion of the assignment sheet that you wrote your data on.
[Refer to Exhibit #8]
III. Lab Report Requirements
Equipment Documentation
The lab reports must include the make, model, and serial number
of lab equipment used in performing the lab. The equipment
includes
● Multimeters
● Capacitance and inductance testers
● Oscilloscopes
● Function generators
● Power Supplies
[Refer to Exhibit #9]
Lab Procedure
The lab procedure that you used must be documented in the report
as a step-by-step process. Bullet points or numbers must be used
to identify each step.
[Refer to Exhibit #10]
Data
Data must be shown in tabular format and all headings must be
clearly labelled along with the proper units of measurement.
[Refer to Exhibit #11]
No more than 2 to 4 decimal places are required for the showing
of data values. The use of engineering notation and/or metric
units of measurement is strongly recommended.
[Refer to Exhibit #12]
Showing ca.
ENG 203 Short Article Response 2 Sample Answer (Worth 13 mark.docxchristinemaritza
ENG 203: Short Article Response 2
Sample Answer
(Worth 13 marks)
ENGL 203 -Response Assignment 2: Sample Answer
1
Writing a Short Article Response (3 paragraph format + concluding sentence)
Paragraph 1:
Introduction
Introduction (summary) paragraph
· include APA citation of title, author, date + main idea of the whole article
· Brief summary of article (2 to 3 sentences)
· Last sentence is the thesis statement –
o must include your opinion/position + any two focus points from the article you have chosen to respond to
Paragraph 2:
Response Paragraph 1
Response to your first focus point from article #1
Paragraph 3:
Response Paragraph 2
Response to 2nd focus point from the article # 2
Paragraph 4: (optional)
Conclusion
Restate your thesis in slightly different words with concluding thoughts/summary of your responses
Length
300 to 400 words
*No Quotations, please paraphrase all sentences
A Response to “Access to Higher Education”
First sentence: APA Citation + reporting verb + main idea of whole article
In the article “Access to Higher Education,” Moola (2015) discussed the possible factors affecting one’s choice in attending higher education. Many people believe that the dramatic rise in college tuition is the main cause of inaccessibility to college. However, parental education backgrounds and their influence on children, admission selectivity categories in universities, unawareness of student aid opportunities, and coping with personal and social challenges are all having effects on a person’s option regarding their enrollment in colleges. Several negative consequences may occur if tertiary education is considered as a right such as negligence of studies and decrement in pass rate. While it is true that higher educational institutes admit students based on certain criteria, one could argue that it is unfair that universities prefer the wealthy, and those who are academically excellent.
Summary sentences (2 to 3)
Student Thesis: 2 focus points + opinion/position phrases (one positive, one negative)
Firstly, this article overlooked the fact that financial aid is not available for everyone and student loans have to be paid back. The author suggested that if university fees are not affordable, students can apply for academic grants and loans. However, scholarships and academic awards are distributed on a highly competitive basis, and therefore, only students who meet the eligibility requirements can benefit from them. Student financial aid does not cover all fees as well, and students awarded grants have to find other sources of financial aid to cover university fees and living costs. Many universities have a limited number or do not offer merit-scholarships at all, making it difficult for low-income students to be enrolled in their institution. Moreover, student loans usually carry interests that will keep increasing until repaid, resulting in large numbers of fresh graduates getting into debts.
Topic sentence: 1st focu.
ENG 130 Literature and Comp ENG 130 Argumentative Resear.docxchristinemaritza
This document provides guidance for an argumentative research essay assignment on August Wilson's play Fences. Students must choose one of four conflicts - Troy vs Society, Troy vs Himself, Troy vs Family, or Troy vs Death - and argue that it is the main driver of the other elements in the story. The document outlines the requirements, including a 3-4 page essay in APA format with an introduction, thesis, evidence from the play and outside sources, and integration of course concepts. It also provides a rubric for grading and notes on developing an argument, incorporating research, and using proper in-text citations.
ENG 132What’s Wrong With HoldenHere’s What You Should Do, .docxchristinemaritza
ENG 132
What’s Wrong With Holden?/Here’s What You Should Do, Holden…
Spring 2019
Your next project will involve gathering, recording, and analyzing information about
The Catcher in the Rye
.
The goal is to provide the reader with a better understanding of the novel’s main character, Holden Caulfield.
Think about his behavior in terms of cause and effect.
Your essay should focus either on reasons for his behavior (What’s Wrong With Holden?), or the results of Holden’s choices (Here’s What You Should Do, Holden…).
If you choose the latter, include a section that presents advice/guidance (kind of like Old Spencer).
Make sure to use research to support your ideas!
Here are the requirements:
1. 3-4 sources (books, articles, interviews, media, etc.)
2. A 2-page summary of the novel
3. A short essay (2-3 pages) that incorporates the information you gathered and supports some type of causal argument.
4. An MLA “Works Cited” in the essay (it doesn’t count as a page).
.
ENG 130- Literature and Comp Literary Response for Setting.docxchristinemaritza
ENG 130- Literature and Comp
Literary Response for Setting as a Device
Essay ENG 130: Literary Response for Setting
Sources: Choose one of the stories that you read in Unit 2/Setting Unit
“To Build a Fire” by Jack London
“The Storm” by Kate Chopin
“This is What It Means to Say Phoenix, Arizona” by Alexie
“The Cask of Amontillado” by Edgar Allan Poe
Prompt (What are you writing about?):
How does Setting affect/contribute to the plot of your chosen story?
Note: Remember that Setting is not only the place in which a story occurs. It is also mood,
weather, time, and atmosphere. These things drive other parts of the story.
How to get started:
Choose a story from this unit and discern all the elements of the Setting.
Decide in what three ways the setting contributes to the plot of your chosen story.
Formulate a thesis about setting and these three areas.
Mini lesson on thesis statements:
If you were writing about Star Wars, a sample thesis might read:
The setting in the Star Wars movies contributes to the desperateness of the
Resistance forces, provides a vast space for action and conflicts to occur,
focuses on how advances will affect society.
Broken down, this thesis would read:
The Setting in the Star Wars movies:
a. contributes to the desperateness of the Resistance forces (write
a supporting section with text examples)
b. provides a vast space for action and conflicts to occur, focuses
on how advances will affect society (write a supporting section
with text examples)
c. focuses on how advances will affect society (write a supporting
section with text examples)
Ask yourself, what is the setting of my story and how does it affect the plot
in the story?
For example, it is apparent that in London’s “To Build a Fire,” you would
devote a supporting section to how the weather conditions drive both the
conflict and the character’s actions.
After you have made connections to the three areas that setting affects, then
form your thesis. Here is a template for your thesis:
The Setting in author’s name and title of the story, contributes to first way
in which the setting affects the story, second way in which setting affects
the story, third way in which setting affects the story.
Instructions:
Read through all of the instructions of this assignment.
Read all of the unit resources.
Select one of the short stories to write about.
Your audience for this essay is people who have read the stories.
Your essay prompt is: How does Setting affect/contribute to the plot of your chosen story?
Your essay will have the following components:
o A title page
o An Introduction
o A thesis at the end of the introduction that clearly states how setting affects the story
o Supporting sections that defend your thesis/focus of the essay
o Text support with properly cited in-text citations
o A concluding paragraph
o A re.
ENG 130 Literature and Comp Literary Response for Point o.docxchristinemaritza
ENG 130: Literature and Comp
Literary Response for Point of View as a Device
Essay for Eng130: Point of View/Perspective
Sources: All of the short stories and plays you have read so far in this course.
Prompt (what are you writing about?):
Choose any of the literature that you have read in this course and choose one of the
following options:
a. In 3 pages or more, write an additional part of the story from a different character’s
perspective (example: write from Fortunatos’ perspective as he is being walled up
in to the catacombs, or perhaps from the perspective of Mrs. Hutchinson as she
prepares food on the morning of The Lottery).
OR
b. In 3 pages or more, write an additional part of the story from a different point of
view than that in which the story is written (example: write from the 1st person point
of view of the man in “To Build a Fire” as he realizes he is going to freeze to death,
or perhaps from the first person point of view of Cory in Fences as his father
blocks his dreams of going to college. Let the reader know what is going on in
their minds).
Note: Take a moment to email your instructor with your creative plan so that you know you
are on the right track.
Instructions (how to get it done):
Choose any of the short stories or plays you have read in this course.
Write a 3 or more page response in which you write an additional part of the story
from a different character’s perspective or a character’s different point of view.
Your audience for this response will be people who have read the stories.
Requirements:
Your response should be a minimum of 3 pages.
Your response should have a properly APA formatted title page.
It should also be double spaced, written in Times New Roman, in 12 point font and
with 1 inch margins.
You should have a reference page that includes the piece of literature you chose.
Please be cautious about plagiarism.
Be sure to read before you write, and again after you write.
Rubric for Point of View Response
Does Not Meet
Expectations
0-11
Below
Expectations
12-13
Needs
Improvement
14-15
Satisfactory
16-17
Meets
Expectations
18-20
Content
Writing is
disorganized or
not clearly
defined and/or
shows a
misunderstanding
of the task.
Writing is
minimally
organized. Use of
different
perspective is
underdeveloped.
Writing is
effective. Use of
different
perspective is
basic and
requires more
creativity.
Writing contains
related, quality
paragraphs. Use
of different
perspective is
effective
Writing is
purposeful and
focused. Use of
different
perspective is
highly effective
and thought
provoking.
Vocabulary/
Word Choice
Word choice is
weak.
Language and
phrasing is
inappropriate,
repetitive or lacks
meaning.
Dialogue, if used,
sounds forced.
Word choice is
limited.
Language and
phrasing lack
inspiration.
Dialogue, if used,
.
How to Setup Warehouse & Location in Odoo 17 InventoryCeline George
In this slide, we'll explore how to set up warehouses and locations in Odoo 17 Inventory. This will help us manage our stock effectively, track inventory levels, and streamline warehouse operations.
it describes the bony anatomy including the femoral head , acetabulum, labrum . also discusses the capsule , ligaments . muscle that act on the hip joint and the range of motion are outlined. factors affecting hip joint stability and weight transmission through the joint are summarized.
ISO/IEC 27001, ISO/IEC 42001, and GDPR: Best Practices for Implementation and...PECB
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Certified as an ISO/IEC 27001: Information Security Management Systems (ISMS) Lead Implementer, Data Protection Officer, and Cyber Risks Analyst, Denis brings a heightened focus on data security, privacy, and cyber resilience to every endeavor.
His expertise extends across a diverse spectrum of reporting, database, and web development applications, underpinned by an exceptional grasp of data storage and virtualization technologies. His proficiency in application testing, database administration, and data cleansing ensures seamless execution of complex projects.
What sets Denis apart is his comprehensive understanding of Business and Systems Analysis technologies, honed through involvement in all phases of the Software Development Lifecycle (SDLC). From meticulous requirements gathering to precise analysis, innovative design, rigorous development, thorough testing, and successful implementation, he has consistently delivered exceptional results.
Throughout his career, he has taken on multifaceted roles, from leading technical project management teams to owning solutions that drive operational excellence. His conscientious and proactive approach is unwavering, whether he is working independently or collaboratively within a team. His ability to connect with colleagues on a personal level underscores his commitment to fostering a harmonious and productive workplace environment.
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Tags: Information Security, ISO/IEC 27001, ISO/IEC 42001, Artificial Intelligence, GDPR
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Walmart Business+ and Spark Good for Nonprofits.pdfTechSoup
"Learn about all the ways Walmart supports nonprofit organizations.
You will hear from Liz Willett, the Head of Nonprofits, and hear about what Walmart is doing to help nonprofits, including Walmart Business and Spark Good. Walmart Business+ is a new offer for nonprofits that offers discounts and also streamlines nonprofits order and expense tracking, saving time and money.
The webinar may also give some examples on how nonprofits can best leverage Walmart Business+.
The event will cover the following::
Walmart Business + (https://business.walmart.com/plus) is a new shopping experience for nonprofits, schools, and local business customers that connects an exclusive online shopping experience to stores. Benefits include free delivery and shipping, a 'Spend Analytics” feature, special discounts, deals and tax-exempt shopping.
Special TechSoup offer for a free 180 days membership, and up to $150 in discounts on eligible orders.
Spark Good (walmart.com/sparkgood) is a charitable platform that enables nonprofits to receive donations directly from customers and associates.
Answers about how you can do more with Walmart!"
A workshop hosted by the South African Journal of Science aimed at postgraduate students and early career researchers with little or no experience in writing and publishing journal articles.
This presentation includes basic of PCOS their pathology and treatment and also Ayurveda correlation of PCOS and Ayurvedic line of treatment mentioned in classics.
spot a liar (Haiqa 146).pptx Technical writhing and presentation skills
Chapter 3 Micro Foundations of Firm’s Advantage – Dynamic Capabil.docx
1. Chapter 3: Micro Foundations of Firm’s Advantage – Dynamic
Capabilities View
In a previous chapter, we learnt about resource-based view
(RBV), knowledge-based view (KBV) and core competence
view (CCV) hypotheses. A major limitation of these hypotheses
is that they are not designed for the VUCA world – the world
that is volatile, uncertain, complex and ambiguous. Therefore,
they do not consider the entropy factors – the factors that act as
disruptive forces in highly dynamic markets. In this chapter,
we will examine three of the most important entry factors:
· mainstreaming of non-consumers, i.e. the rise of new groups
of customers served using alternative sets of resources,
knowledge and/or core competencies.
· political power play, i.e. the role of non-market – often
government-supported - factors in enabling competing firms to
develop alternative sets of resources, knowledge and/or core
competencies.
· globalization games, i.e. the shifts in the advantages of
different national markets, and as a consequence of the firms
having investments in those markets.
Micro foundations of firm’s advantage refer to the structures,
processes and behaviors that help firms navigate the VUCA
world. Development of appropriate structures, processes and
behaviors that are in tune with the VUCA world allows firms to
be dynamic in their capability. Dynamic capability is the
capability for recognizing and responding or adapting to
significant market change. Dynamic capability view (DCV)
hypothesis of strategic action is intended to help firms stay
relevant and is of strategic advantage for larger corporates and
their stakeholders.
In this chapter, we will also learn about different types of
2. marketplaces, and how to classify these marketplaces using the
niche density (number of firms in a marketplace) and carrying
capacity (size of the market) approaches. It is important to
recognize the link between the concept of dynamic capability
and the type of marketplaces. By operating in different types
of marketplaces across different business divisions or regional
geographies, the firms may be able to gain experience and
develop structures, processes, and behaviors to not only survive
but also thrive in a VUCA world.
Exhibit 3.x illustrates the evolution of DCV, based on the
refinements of RBV, KBV and CCV. KBV distinguishes
capabilities (and knowledge-base of the capabilities) from
resources. CCV distinguishes core competencies (creative
integration and innovative combination of knowledge) from
ordinary capabilities (articulation and replication of
knowledge). DCV distinguishes transforming capabilities, from
core competencies.
Exhibit 3.x: Refinements in RBV, KBV and CCV Bring DCV in
Perspective
Entropy Mechanisms under Dynamic Environments
We need a significant revision in the original elitist
assumptions of the RBV, KBV and CCV, to account for the
success of firms in face of the environmental crisis and
dynamism in the 21st century. RBV, KBV and CCV were all
based on a linear, functional approach, emphasizing acquisition
and possession of resources, knowledge and core competencies.
RBV, KBV and CCV held that if elitist firms developed
increasingly higher-order resources, knowledge, and core
competencies through innovative combinations and creative
integrations, they will be able to stay relevant with a
3. competitive advantage on a sustainable basis. Central and
common to all these three views is a strong belief in the
isolating mechanism assumption – that complex resources,
knowledge, and core competencies are difficult to substitute and
imitate, therefore giving rise to firm heterogeneity, above-
average returns and a competitive market share.
To motivate the need for the alternatives to RBV, KBV and
CCV, we will use the concept of entropy. In thermodynamics,
entropy is a measure of disorder or information deficit in a
system; valuable knowledge declines in closed systems,
reaching a point when the system lacks any usable valuable
knowledge. By focusing almost exclusively on factors internal
to a firm, RBV, KBV and CCV inherently imply rapid entropy
or loss of valuable useful knowledge of an elitist firm in
dynamic environments. In the chaotic, crisis-driven, and
catastrophe-aware world of the 21st century, the limitations of
these static and elitist perspectives have become evident. The
ability of many emerging market firms to successfully compete
with large elitist MNEs has further precipitated a need for other
alternative, and more inclusive, internal firm-based perspectives
on strategic advantage.
Let’s identify three major factors contributing to entropy
in dynamic environments, and label them as “eroding
mechanisms”. As illustrated in Exhibit 3.x, eroding mechanisms
counter the isolating mechanisms, and have powerful influence
on the ability of the firms to sustain their strategic advantage.
Exhibit 3.x: Entropy Counters RBV, KBV and CCV in Dynamic
Environments
Entropy in Competitive advantage
4. Non-consumer Mainstreaming: Research on innovation shows
that new entrants often succeed using alternative sets of
resources, knowledge and core competencies to address the
needs of those presently not consuming a product, being
underserved and/or overlooked. Christensen’s (1997) work
Innovator’s dilemma finds most dramatic innovations occur
when firms strive to design products addressing the needs of
those who are not currently consuming a product. Christensen
shows that in a number of industries, firms who introduced such
innovations for non-consumers eventually gnawed into the
advantage of firms who were focused on former consumers.
Examples include the small off-road motorcycles introduced by
Honda in the 1960s, Apple's first personal computer, and
Intuit's QuickBooks accounting software. Though they seemed
to be niche products initially, eventually they all created
massive growth.
Entropy-effects of non-consumer mainstreaming have increased
in the industrial markets, as firms have shifted their focus from
empowering and sustaining innovations, to efficiency
innovations (Christensen, 2013). The income inequity level has
risen sharply worldwide, with nearly 80% of the world
population – residing primarily in Africa and South and
Southeast Asia – earning less than $2 / day. With increased
globalization, there is an inter-firm rivalry jostling for
capturing the left out 80% consumers.
Empowering innovations translates into transforming complex
and costly products into simpler, cheaper, and redesigned
products for a wider range of consumers. In the computer
industry for example, there have been several waves of
empowering innovations, which have expanded the consumer
base from governments (mainframes, priced at $100,000+), to
businesses (desktops), to urban consumers (laptops), and to
even rural users (tablets – such as the $40 Akash tablet designed
by the scientists in India and the US). Exhibit 3.x tells the story
5. of Sony, once a pioneer in empowering innovations, who later
became entrapped when even more empowering innovation
became possible.
Exhibit 3.x: Sony – An Empowering Innovator Gets Entrapped
In the 1950s, Akio Morita, the founder of Sony, launched a
series of miniature products, ranging from portable players,
portable radio, portable television, and portable video
recording. They had resounding success each time, as the
established leaders failed to notice the disruptive effects until
they lost the market totally. For Sony, each new wave of
miniature products offered more attractive margins, and offered
the motivation to invest in miniaturization core competence and
its new application.
In 2000s, with the rise of internet, downloadable music became
a reality. Sony had a really big CD business, and had little
motivation to invest in this business. That allowed Apple’s
entry and rise in the music industry, using first the iPod and
then the iTunes.
Source: Adapted from Christensen & Raynor (2003)
Sustaining innovations improve the performance of established
products and services along the dimensions that customers in
major markets are willing to pay a premium for. They
contemporize products to be in sync with the needs, aspirations
and lifestyle of today’s consumers for which they have much
greater interest and willingness to pay. Examples include
microprocessors enabling personal computers to operate faster;
and battery enabling laptops operate longer. Overall with
globalization, the number of firms pursuing sustaining
innovations has increased; whereas, the ability of all firms to
make meaningful sustained innovations, without undue cost
increases, on a continuing basis has decreased drastically.
‘Efficiency’ innovations improve the cost-effectiveness of
existing products, so that the consumers get greater value for
their money with even superior quality. These are the types of
6. innovations that many emerging market firms like Patanjali
Ayurveda are following very successfully, to cater to the left
out 80% market. Other examples of efficiency innovations
include organizational innovations such as just-in-time
manufacturing, online insurance underwriting by GEICO, and
technological innovations such as the mini-steel. Exhibit 2x
highlights the case of ministeel and dramatic efficiency
innovations, that allowed greater mass access for cars and other
steel-intensive products.
Exhibit 3.x: Ministeel as a disruptive efficiency as well as
sustaining innovation
Minimills were a major efficiency innovation in the steel
industry in the mid-1960s. Minimills, that used recycled steel
for making steel, enjoyed a 20 percent cost advantage over
integrated mills that instead used iron ore. Ministeels initially
offered low quality steel and targeted a market underserved by
the integrated mills. They offered rebar - small steel bars made
from scrap – to create reinforced concrete. Rebar business
accounted for only 4% of the integrated mills’ tonnage, and
offered a gross margin of only 7%. The integrated mills were
therefore happy to exit rebar business, and focus on higher-
margin steel products. As the last integrated mill exited from
the rebar business, and the growth opportunities in rebar
business diminished, cut-throat competition among the
minimills dropped the rebar price by 20%.
To sustain their profitability and growth, the ministeels had to
pursue sustaining innovations, to make better-quality steel in
larger shapes, such as thicker bars and rods. For the integrated
steels, this market tier was twice as large as the rebar market,
and offered profit margins of 12%. The ministeels invested in
equipment to make the larger shapes, and improved the quality
and consistency of their steel. Again, the integrated steels had
to exit this market, to focus on more profitable products. As
the last integrated mill exited, the price of these thicker bars
and rods also collapsed.
7. This process of moving to the next upward tier continued, until
the integrated mills ran out of markets to flee to.
Source: Adapted from Christensen & Raynor (2003)
Political powerplay: Non-market factors, including
governments and other social actors, play an important role in
enabling competing firms to develop alternative sets of
resources, knowledge, and core competencies. Let’s consider
three types of political powerplays – predatory, regulatory, and
reputation. At times firms experience predatory powerplay, i.e.
regulators may be blindsighted by rivals who lower prices and
assume losses for a temporary period in order to capture
customers and vendors, away from existing firms. Conversely,
regulators might impose very high taxes, liability and insurance
costs, or audit and reporting requirements, thereby making an
existing firm’s operations financially unviable. Finally,
reputation erosion occurs as established firms become a target
of reputation powerplay. Here, the consumers may choose to
boycott large successful firms who are highly visible to various
stakeholders and media, as they seek to push corporates to align
more with their values of conscious capitalism, including green
environment, human rights, and reasonable profits.
Globalization Games: We identify three types of globalization
games that may erode the advantage of established firms:
Development Games – governments in emerging markets may
support the development of their firms using a variety of means
- e.g. they may compel foreign firms to transfer intellectual
properties with limited compensation, and/or they may be lax on
issues of human and environmental rights. They may also use
public investments for acquiring raw materials from around the
world and then offer them to their domestic firms at below
market costs; and/or, they may manipulate their exchange rates
if they are an export-driven economy. As a matter of fact, the
8. Chinese government is known for aggressively pursuing all
these means. Thus, when governments focus on these
development efforts for specific sectors with large emerging
markets, firms in other nations may suffer rapid erosion of their
strategic advantage.
Trade Games –governments in industrial markets may promote
industries that are capital and technology intensive as these
require specialized skills, offer scope for improving
productivity in their nations, and sustain well-paying jobs both
in production and service offerings. They may use state-funded
enterprises and defense initiatives for the initial development of
the industry, offer fiscal incentives, R&D and training
subsidies, and state partnership to their domestic firms. For
instance, the Canadians supported aircraft development through
state-run Canadair, supported Technology Partnerships Canada
(a form of R&D assistance), Export Development Canada, and
military contracts for maintenance and training. Similarly, many
governments in Europe came together to promote and support
Airbus in order to create a viable European aircraft alternative
to Boeing of the USA. Boeing had to lobby hard with the US
government in order to regulate and contain the European
government support for airbus, and to sustain its strategic
advantage.
Industry Games – in a global environment, every national region
looks to offer different types of strategic advantages to the
domestic firms, because of their industry base, education and
skill base, innovation initiatives, and investments involving
enhancement of productivity of the local workforce including
places where an affordable cost of living allows labor costs to
be dramatically low. Due to this, global production and service
patterns are subject to rapid change; and these changing patterns
in turn offer new opportunities for trade and exchange, enabling
even new or less known firms to dramatically improve the cost-
effectiveness, design, and value of their products over the
9. established firms.
In the 1990s, the PC market was mostly a corporate market
(roughly 75% of volume). Corporate buyers wanted a
commodity. They were buying 500 or 5000 boxes, they wanted
them all the same and they wanted to be able to order 500 or
5000 more roughly the same next year. They wanted to compare
4 vendors on price with the same spec sheet. They didn’t care
what they looked like (and they were going under a desk
anyway) and they didn’t care how easy it was for non-technical
people to set them up because the users would never touch the
configuration. Nor did they care much about the user interface,
because most of the users were only going to be running 1 or 2
apps anyway. That resulted in what Christensen & Raynor
(2003) referred to as low-end disruption of the personal
computer market – the profits of desktop manufacturers fell
dramatically, and they were forced to change their business
model to essentially assembly. The industry changed from
being integrated into disintegrated, and the products evolved
into modular architecture, that offered users freedom to
customize their computer using off-the-shelf parts and software.
Source: Adapted from Evans, 2013
The Dynamic Capability View under Dynamic Environments
With a greater understanding of the risks of entropy
mechanisms, there has been a huge interest in developing new
intrinsic perspectives of strategic advantage that are sensitive to
environmental dynamism. One of the most important of these
perspectives is the Dynamic Capability View (DCV), which is
an outgrowth of the previous research on resources, knowledge,
and core competencies (Teece, Pisano & Shuen, 1997). The
purpose of DCV is to explain how competencies are transformed
over time so as to provide innovative responses to market
changes (Helfat et al, 2007), and also focus on how firms invest
in, trade, and exchange their resource and knowledge base, so as
10. to maximize organizational fit with the environment at large.
The term ‘dynamic’ connotes agility, speed, and timeliness in
addressing the changing external market conditions (Teece,
Pisano & Shuen, 1997).
Baretto (2010: 171) offers the following definition of dynamic
capability based on his synthesis of the literature: “A dynamic
capability is the firm’s potential to systematically solve
problems, formed by its propensity to sense opportunities and
threats, to make timely and market-oriented decisions, and to
change its resource base.”
We discuss below three major perspectives on DCV: the process
perspective, the structural perspective, and the behavioral
perspective.
The Process perspective of DCV has its origins in the scholarly
work of Cyert and March (1963), who presented the sense-
making process within a firm emphasizing how certain codes
are more or less likely to be learnt by a firm according to
whether or not they generate positive consequences under
conditions of external shocks. This outcome-based sense-
making process helps a firm adapt to its environment and build
its adaptive capability.
A major factor in the challenge for sense-making process is the
amount of disruptive change experienced in a market (Collis,
1994). Based on the amount of disruptive change, the sense
making process requires different types of dynamic capabilities,
as illustrated in Exhibit 3.x.
Exhibit 3.x: The Process Perspective of DCV
Classification of Dynamic Capabilities
Organizational outcomes
11. -Enhanced strategic advantage
· First-order change and improvement (or operational)
capabilities: In less dynamic environments, the pace of change
is slow and the extent of change is also limited. These changes
call for continuous, micro adjustments and improvements in a
firm’s resources and how they are deployed (Ambrosini,
Bowman & Collier, 2009).
e2v is a waste management company that is engaged in constant
improvement of their waste management and energy use. They
keep tinkering with their processes and systems so that they
reduce energy consumption; they work on being able to recycle
more and more waste in terms of quantity e.g. tons of
cardboard, and types e.g. paper, oils, and solvents.
Source: Adapted from Ambrosini, Bowman & Collier, 2009
· Second-order change and reconfiguration (or renewing)
capabilities: Instead of simply seeking to improve existing
resources, knowledge and core competence, they focus on
evaluating whether the organization is performing the right
activities (Teece, 2007). They contribute to new business
development, by reconfiguring the resources, knowledge and
core competencies of a firm. For instance, Virgins’
reconfiguration capabilities helped it to apply its core
competence in brand value into new domains, including airlines,
mobile phones, cosmetics, bridal wear, cola, railways. Sony’s
reconfiguration capabilities helped it apply its core competence
in miniaturization into new domains, including radio, hi-fi,
computers and personal navigation.
Founded in 1979, International Greetings (IGR) is one of the
world's leading manufacturers of greetings products. Over the
12. years, it has pursued three vehicles for reconfiguration
capabilities:
Product line extensions, in the form of new types of greetings
card; gift wrapping, crackers, stationery and accessories.
Asset leverage, in the form of the acquisition of character
licenses, such as Shrek, The Simpsons, and Harry Potter.
Geography extension, by moving production from UK to Eastern
Europe and China, to alleviate pressures on its margins and to
ensure surplus to sustain new product line extensions and asset
leverage options.
Source: Adapted from Ambrosini, Bowman & Collier, 2009
· Third-order change and reconstruction (or regenerative)
capabilities: This may require firms to creatively destroy their
resource endowments and portfolios, reconstruct an entirely new
form and to move into an entirely new market space. For
instance, after the World War II, McDonald’s destroyed its
earlier and successful full-service car hop restaurant, and built
the fast food format. People then thought that the founder-
owners of McDonald’s have gone insane, but McDonald
brothers were convinced that in the post-war era, people were
seeking the thrill of everything on the go. Ray Kroc, a multi-
mixer salesman, became so enamored by the success of the sole
McDonald restaurant in San Bernardino city, California that he
decided to first license the McDonald format in 1954, and then
bought the global rights on that format in 1961 for $3.7 million
in cash (equivalent to $16.2 million in 2013).
Exhibit 3.x illustrates the case of GlaxoSmithKline, which
embarked upon building dynamic capabilities after its industry
experienced a significant crisis.
Exhibit 3.x: Reconstruction Capabilities in the Pharmaceuticals
Industry
Historically, pharma companies hired a large number of
scientists, and invested a large amount in R&D trying to
13. discover and test thousands of chemical entities for their
efficacy in treating a range of illnesses. Over time, the
pipeline of new chemical entities began drying up, with major
pharmas restricted to the introduction of only one or two new
drugs per year. The increasing costs of drugs created a crisis
like environment and rising threat of intellectual piracy
especially in the emerging markets that could not afford these
costly drugs. That forced a series of major mergers and
acquisitions and rapid consolidation of the pharma industry
during the 1980s and early 1990s. Glaxosmithkline emerged
after Glaxo merged with Smith Kline, who had earlier combined
with Beecham. In the mid 1990s, GlaxoSmithKline acquired
hundreds of much smaller biotechnology and other firms, many
of whom had never sold any products, and who operated with
quite different technologies and science bases. It followed up
with a series of divestments, and outsourcing activities
traditionally performed in-house.
Source: Adapted from Ambrosini, Bowman & Collier, 2009
The Structural perspective of DCV emphasizes the role of
social and organizational structures in guiding the knowledge
management processes, especially for supporting higher-order
dynamic capability (Zollo & Winter, 2002; Macher & Mowery,
2009). Social and organizational structures include
technological paradigm, ecological context, and organizational
design.
New technology structures may foster higher-order dynamic
capability. For instance, in an interesting study, Barley (1986)
demonstrated that the introduction of medical imaging devices,
such as the CT scanner, challenged traditional role relations
among radiologists and radiological technologists, and this
changing social structure spurred changes in organizational
processes, depending on the individual-level factors.
Similarly, new ecological structures, such as new space and
institutions, may foster higher-order dynamic capability. For
14. instance, open offices and competitive conditions facilitate open
administration and organic interaction, while closed offices
with regulated institutional conditions may perpetuate a
bureaucratic logic with rigid administrative structures and
processes over time (Baron et al, 1996).
Finally, organizational design (e.g. tall vs. flat, functional vs.
multidivisional, matrix vs. network) also impacts the
development of higher-order dynamic capability (Felin et al,
2012). For instance, a multi-divisional organization design
might give rise to gaps in shared knowledge about different
functional competencies across parts of the organization, and, in
turn, compromise integration, innovation and change (Hoopes
and Postrel, 1999). Inter-organizational structures are also
important. Using data on acquisitions in the banking industry,
Zollo & Singh (2004) found that the dedicated organizational
structures for improving the process of codification of
acquisition-specific knowledge contributed to post-acquisition
performance. Similarly, using data on alliances among the US-
based firms, Kale & Singh (2007) found that the dedicated
organizational structures for improving the process of alliance
learning contributed to firm-level alliance success.
Exhibit 3.x illustrates the structural view of DCV, and shows
how it complements the process view of DCV.
Exhibit 3.x: The Structural View of DCV and its complementary
with the Process View
The behavioral perspective of DCV
The concept of corporate-level dynamic capability faces the
challenge of reconciling human agency (i.e. freedom of people
to make choices), with the tendency of all collectivities to
suffer from inertia. The human agency provides this new
energy, by directly influencing the development and operation
of organizational and social processes and structures. Human
15. agency that shapes corporate-level dynamic capability may be
set among all members (e.g. in fully decentralized
organizations), or led by a few influential formal or informal
leaders (e.g. senior executives or decision-makers).
In practice, individuals demonstrate varying degrees of agency
(i.e. true freedom of choice). When the degree of agency is low,
individuals may act in a passive, fast, automatic, habitual or
regularized fashion. The degree of agency tends be low when
the members involved have limited amount of resources,
knowledge, and skills to cope with change, such as in highly
turbulent situations. Thus, the behavioral perspective regarding
human agency complements the process and structure
perspectives on the development of dynamic capability.
Exhibit 3.x portrays two alternative models of how behavioral
factors may interact with the structural and process factors of
DCV and contribute to organizational outcomes. In model 1,
structures guide processes to shape behaviors for effective
decision-making. In model 2, behaviors shape structures, which
in turn moderate how behaviors shape processes that generate
organizational outcomes.
Exhibit 3.x: Behavioral Factors Interact with the Structural and
Process Factors of DCV
Model 1: Structures Guide Processes to Shape Behaviors for
Effective Decision Making
Model 2: Behaviors Guide Processes, moderated by Structures,
for Effective Decision Making
The behavioral perspective expands the focus of DCV from the
‘doing” aspect, to the “deciding” aspect (Helfat et al, 2007:
115). This ‘deciding’ aspect is a function of cognitive,
16. emotive, and social/ relational factors, as discussed below.
Cognitive factors and Organizational decision-making
Strategic decision-making involves cognitive factors such as
planning, attention, and problem solving. Leaders seeking to
promote a distributed model of strategic decision-making may
shape enabling organizational processes and structures by
asking questions such as: How to sensitize planning to
opportunities emerging in the distant horizon? How to filter
critical issues for attention? How to afford requisite support to
members for their problem solving strategies?
Eesley and Roberts (2009) find that leaders and change agents
who bring experiences with a broader set of responsibilities and
functions allow firms to build more valuable and cognitive
representations of market opportunities. However, under
conditions of highly novel technology and rapidly changing
industry, over-reliance on the prior experience of key
executives can have negative effects (Eesley and Roberts,
2010). Under these conditions, it is important that the
organizational processes and structures also support forward-
looking cognitive efforts, such as envisioning novel scenarios
and discovering innovative options as part of the problem-
solving behaviors (Gavetti and Levinthal, 2000). But the flip
side points to firms or individuals who rest on previous laurels,
thereby tending to rely more on historical path-dependencies
(Laamanen and Wallin, 2009); this in turn orients individuals
and firms more towards reaffirming and reproducing existing
resources and routines, as opposed to spurring new sets of
activities for driving change. Therefore, as alluded by model 2
of behavioral factors above, corporate-wide organizational
structures that trigger early warnings and sensitize members
about the seriousness of the actual or impeding crisis may be
helpful in breaking historical path-dependencies (Felin et. al.,
2012).
17. Firms may also be able to design structures to guide process
that in turn shape behaviors (model 1 above). Corbett & Neck
(2010) identify three types of organizational attributes through
which corporate executives may help shape cognitive or mental
maps for the decision-making processes and enable major
innovative breakthroughs. These organizational attributes are
structures and processes related to
(1) the ‘arrangements’ an organization needs to make or secure
to bring about changes in the organizational processes
(2) the ‘willingness’ to change current organizational practices
(3) the ‘ability’ to execute change in organizational practices.
Arrangements structures and processes include culture,
coaching, and top management support. To elaborate, an
entrepreneurship-supportive culture encourages experimentation
and thereby accepts minimal losses. Coaching is important for
members when they have limited experience with a novel
technology or market. Top management support is compulsory
to protect members from being a scapegoat while working on
innovative efforts. Without this ‘vital’ support from the top
management, innovative efforts are often found wanting, lack
continuity and focus.
Willingness structures and processes address issues such as
career conflicts. Research shows that many individuals are
unwilling to take international postings, because of a fear that
this will take them away from the top managers at their home-
base and exclude them from future advancement opportunities.
Under these situations, willingness structures and processes
guide individuals to pursue those opportunities, and stay
committed to them (Mitchell et al., 2000).
Ability structures and processes enhance the abilities and
build confidence. An example of such abilities is bricolage,
defined as ‘making do by applying combinations of the
resources at hand to new problems and opportunities’ (Baker
and Nelson, 2005: 333); that bricolage relies on scavenging
various resources so as to extract usefulness from resources that
18. others do not value or do not intend to use. Therefore, it banks
on experimentation or improvisation and in doing so, breaks
down or reconfigures resource combinations. Individuals and
firms who target bricolage for addressing particular issues
(selective bricolage) are more likely to be successful.
Corbett and Neck (2010) conclude that firms with great
entrepreneurial ability tend to show a greater cognitive balance
with emphasis on all three types of mental maps (arrangements,
willingness and ability) and thereby enjoy better dynamic
capability. In contrast, firms showing cognitive imbalance tend
to experience lower dynamic capability and eventually lose out
on the strategic advantage with new initiatives.
Emotive Factors and Organizational Decision-making
Strategic decision-making also involves emotive factors, i.e.
moods and motives. Cognitive psychology based on neuro-
scientific evidence shows that in practice, cognitions work
interactively as well as conjointly with emotions in regulating
thought and behavior (Duncan & Barrett, 2007). Emotions may
manifest as either transient moods (e.g. fear, anger) generating
temporary change in mental states, or intense motives or drives
(e.g. pride, envy) generating a more sustained modification in
mental states. As mood and/or motives are activated, a change
in behavior is triggered; this could either be deliberate
involving new strategic decisions rooted in a systematic
evaluation of the stimuli; or could be ‘adhoc’, such as involving
a routinized emergent choice response, based on a general sense
or gut feeling about the nature of the stimuli and its potential
impacts. Exhibit 3.x portrays this emotion-based organizational
decision-making.
Exhibit 3.x: A model of emotion-based organizational decision-
making
19. Emotion-based ability has generated a considerable interest
among scholars of human behavior. Known also as emotional
intelligence, it refers to an individual’s ability to recognize and
regulate one’s emotions, so that desired decisions that are taken
are in the best interests of all parties concerned (Salovey &
Mayer, 1990).
Huy (2012) identifies the need for organizations to develop
their own emotional capability comprising of the ability to
recognize, monitor, discriminate, and attend to emotions of
employees at both individual and collective levels. His
organizational emotional capability theory posits that
“organizations that develop procedures related to emotion
management and that provide systematic training on this subject
to various managers likely reduce the need to rely on the innate
competence of individuals’ emotional intelligence.”
The role of emotional intelligence and organizational
knowledge structures (i.e. emotional capability) in enhancing
emotion-based organizational decision-making for enhanced
strategic advantage, and in the process developing dynamic
capability in the form of improved knowledge structures, is
illustrated in Exhibit 3.x
Exhibit 3.x: A model of developing emotion-based dynamic
capability
Knowledge structures
Emotional intelligence
Dynamic Capability
20. Examples of organizational events eliciting strong
emotions among large groups include any radical change, be it
in the organizational identity, change in the executive
leadership team, mergers and acquisitions, strategic alliances or
joint ventures, and/or outsourcing and downsizing. Different
sub-groups within the organization experience different
emotional responses to any such event, and may have multiple
ways to deal with their emotions (Huy, 2012). For instance,
when key executives leave after a hostile takeover by another
company, for some it may be beneficial in terms of individual
growth, while for others it may be malefic due to the individual
connect that they possibly had with those employees.
Huy (2012) studied a large technology firm, where top
executives emphasized structure and process perspectives of
DCV. The study showed that strategy implementation faced
significant group-focus emotional issues related to the social
identities of the middle managers, such as newcomers vs.
veterans, and English- vs. French- speaking. These group-
focused emotions led middle managers to support or covertly
undermine a particular strategic initiative, even when their
immediate personal interests were not impacted.
Relational factors and Organizational decision-making
Finally, relational factors also play a significant role in
strategic decision-making. In dynamic markets, individuals
often lack the capacity and capability to enact the full range of
competences necessary to make and execute effective
organizational decisions. They must seek complementary
resources, knowledge, and skills via their social network of
relationships, both within the firm, as well as outside the firm
such as consultants or alliance partners (Jones et al, 2011; Dyer
& Singh, 1998).
Scholars emphasize the need for the organizations to develop
their social capital, a term connoting cognitive and emotive
connections (e.g. “goodwill, fellowship, sympathy among
individuals and families) with key groups (Hanifan, 1920).
21. Blomqvist & Seppänen (2003) observe that in dynamic markets,
people must learn how to establish, manage, and dissolve
relationships, while also maintaining a good reputation as a
potential partner in the market. The capability to build trust, to
collaborate and to simultaneously manage them becomes critical
for effective decision-making under uncertain and crisis-laden
situations. Social networks are important because friendship
and kinship ties can provide access to resources at less than
market price (Starr and Macmillan, 1990), or even provide
resources that are simply not available via market transactions
(Baker, Miner & Eesley, 2003). Networks strongly shape the
trajectory of a firm because they allow people to bootstrap
resources, knowledge and insights, when such assets are not
available to them directly based on their own historical paths of
experiences, and thus improve the dynamic capability of the
firms to respond more effectively to crises or new opportunities
(Jones, Macpherson & Jayawarna, 2011). An additional benefit
of social relationships in the contemporary knowledge economy
is its potential to generate large amount of data, referred to as
“Big Data”. Companies such as Google and Facebook are
essentially Big Data businesses, whose staggering market
valuation and profitability steps from analyzing data about
those connected to their products, and applying that to
advertising.
In dynamic markets, high levels of solidarity, i.e. strong
long-term exclusive relationships within a small group, can be
counterproductive as well (Portes and Landolt, 1996). Burt’s
(2005) research demonstrates that optimal network value is
created by structural holes, i.e. by brokering connections
between segments that would be otherwise unconnected. High
levels of solidarity with a small group is referred to as within-
group or bonding social capital, as opposed to “weak ties” for
strategic and need-based exchange of resources, knowledge and
insights, which are referred to as across-group or bridging
social capital (Woolcock, 1998). Therefore, in dynamic markets,
bridging social capital based on weak ties have been found to be
22. more effective in giving individuals flexibility of innovative
action and access to new, creative knowledge structures that are
more pertinent for dealing with change.
Dynamic Capabilities and Firm Performance
Having discussed the process, structural, and behavioral
perspectives on the development of dynamic capabilities, an
obvious follow-up question is how dynamic capabilities are
related with organizational performance outcomes. There are
three schools of thought in this regard.
The first school contends a direct effect of (stronger) dynamic
capabilities on performance outcomes such as competitive
advantage (Teece et al., 1997; Zollo & Winter, 2002).
The second school contends an indirect effect, whereby the
firm’s resource-base mediates the influence of dynamic
capabilities on performance outcomes (Protogerou et al., 2011).
Thus, Ambrosini, Bowman & Collier (2009) suggest a two-step
process through which dynamic capabilities influence a firm’s
performance. In the first step, dynamic capabilities contribute to
the development of resources, knowledge and core
competencies, and in the second step, these resources,
knowledge and core competencies contribute to a firm’s
performance.
The third school contends an interaction of both direct and
indirect effect, emphasizing these direct effects represent
influence on organizational decision-making (Eisenhardt &
Martin, 2000; Helfat et al., 2007). Schilke (2014) used a
sample of R&D alliances to show that the alliance learning
(interpreted as dynamic capability) influences firm’s
performance mostly indirectly, i.e. by increasing the firm’s
alliance management capability (interpreted as an ordinary
knowledge asset). However, the alliance learning also had a
direct positive impact on firm’s performance, indicating that the
23. dynamic capabilities also enable ad-hoc problem-solving
decision-making strategies in addition to building knowledge
assets (Schilke, 2014). Further, dynamic capabilities may also
shape the direct influence of knowledge assets on a firm’s
performance. In fact, sometimes this influence can be negative –
for instance, when dynamic capabilities generate undue or
disproportionate disruption in existing knowledge assets
(Schilke, 2014).
The relationship between dynamic capabilities and firm
performance is moderated by three major contingency factors,
including market dynamics, organizational attributes, and
human agency. As previously observed, market dynamics
influence whether a firm’s knowledge assets generate sufficient
functional energy to offset entropy pressures, and are able to
assure and sustain strategic advantage. Drnevich & Kriauciunas
(2011) find that market dynamism negatively impacts the
contribution of ordinary knowledge assets and positively
impacts the contribution of dynamic capabilities to firm
performance. Similarly, organizational attributes, such as
strategic intent, history, scale and scope may also influence how
organizational decisions for continuity or change are translated
into newknowledge assets. Baretto (2010) underlines how
strategic commitment to significant future market growth might
provide an impetuous to dynamic capability development.
Finally, human agency or freedom may accept the processes,
structures, and behaviors triggered by past developments of
dynamic capability, or may reject or modify that.
Exhibit 3.x portrays the influence of the three contingency
factors in the relationship between dynamic capability and firm
performance. The exhibit includes not only the feedforward
relationship between dynamic capabilities and firm
performance, but also how firm performance generates a
feedback loop, triggering executives to re-evaluate processes,
structures and behaviors undergirding current dynamic
24. capabilities. This re-evaluation process in turn triggers
organizational decisions for strategic and/or adhoc
developments in their knowledge assets, which include
resources, knowledge, and core competencies/ insights.
Exhibit 3.x: A Contingency model of Dynamic Capability and
Firm Performance
Human agency dynamics
Organizational attributes dynamics
Market dynamics
Dynamic Capability Development Trigger
Marketplace Characteristics and How to Develop Dynamic
Capability
Marketplace characteristics is an important factor in the
behavior of the firms. When firms operate in multiple
marketplaces that have differing characteristics, that can be a
powerful way to develop dynamic capability. The behavior of
participants in a marketplace depends on the characteristics of
the marketplace in which they operate. As shown in Exhibit 6.5,
there are two typologies of market structures – one based on the
niche density (i.e. the number of competitors), and the other
25. based on carrying capacity (i.e. the industry lifecycle). In
economic theory, four major types of traditional markets are
identified based on the number of competitors: (1) Monopoly
(single firm), (2) Oligopoly (a few firms), (3) Monopolistic
competition or niche markets (many firms), and (4) Perfect
competition (numerous firms). Another important structural
characteristic is the industry lifecycle. In strategy literature,
four types of markets are identified based on the industry
lifecycle: nascent markets, hyper-competition, dominant firm,
and fragmented market. Each of these market structures offers
differing constraints, opportunities and incentives to the firms.
Therefore, each market structure encourages distinctive types of
behavioral capability, and when the firms operate across
different market structures, they could develop higher-order
change capabilities.
Exhibit 6.5: Typologies of Market Structures
Market Structures based on Niche Density, and Strategic
Behaviors
Monopoly: Monopoly refers to a market structure with only one
firm. The monopoly firm is largely free to decide its own price,
output, and other product and service features. However, if the
monopolist overtly restricts the output, over-prices its products,
and fails to offer high quality services, then it faces a risk of
new firms entering the market and trying to cater to the market
segment left unsatisfied by the monopolist. Traditionally,
monopolistic firms are viewed in a bad light – they tend to be
complacent, bureaucratic, inefficient, not very innovative,
loathsome to new entrants, and lastly keep their prices
exorbitantly with poor service quality. The basic assumption on
which a monopolistic firm conducts its business is that it will
be able to profit from its exclusive position in the market just
by preventing new competition. With the profits being huge at
26. the onset, it induces other firms to try and replicate the same,
even if other rivals exist. Historically, several large firms have
been known to act in this manner, such as Microsoft using its
domination in the personal computer industry in the 1990s to
drive out Netscape, once a leader in the web navigation market.
Alternatively, if all other rivals of a large firm are roughly
equal to its size and are few in numbers, the players may seek to
collude and coordinate their actions. OPEC for example – the
association of the oil and petroleum exporting countries – has
been known to act in this behavior striving to keep the oil prices
high.
Monopolists are known to engage in a range of tactics, or
games, to impede the entry and success of other entrants. One
such game is “predatory pricing”, wherein the firm charges a
price below its costs with the intent to drive out other entrants.
Another game is “essential facility denial”, wherein the firm
denies the use of essential facilities, such as refrigerated
freezers given by an ice-cream company to the retail outlets, to
other entrants. “Vaporware” is the third game, wherein the firm
makes fake announcements intended to stop customers from
switching to a better product of other entrants. Governments try
to check the negative behaviors of monopolists using anti-trust
and fair competition laws.
As discussed in Exhibit 6.6, in the Internet era, new
types of monopolies – referred to as creative monopolies – have
emerged, which are actually helping to cut the monopoly power
of suppliers, and transfer value back to the consumers. A great
example is Amazon, which in 2014 in the US alone held a 67%
share in the e-book market, a 41% share in the new books
market, and a 15% share in the total e-commerce market. Since
then it has strengthened its eBook market position by
introducing a highly successful eBook reader. It has used its
monopoly power in the eBook market to create a business model
where it asks all publishers to make the new eBooks available to
the consumers for $9.99. It advocates sharing 30% of this value
with itself, and the rest being split equally between the authors
27. and the publishers. Amazon flexed its monopoly power muscles
in this case as it noticed that legacy publishers are increasingly
becoming like irrelevant middlemen whose presence in reality is
keeping book production costs unreasonably high; therefore it
offers an option to the authors to publish directly with it. On the
other hand, the traditional publishers hated this approach, as it
undercut their ability to sustain their profitable business
models. As a counter response, many major publishers colluded
with Apple to force a model on eBook sellers where the
publisher sets the prices for books and retailers simply take a
commission. They also tried hard lobbying with the government
to introduce regulations to break Amazon’s monopoly on eBook
distribution. However, in 2012, the Justice Department found
the major book publishers at fault for colluding to prevent the
creative entrepreneurship of Amazon.
Exhibit 6.6. A new golden age of creative monopoly
Since Google leapt ahead of Microsoft and Yahoo in internet
search in the early 2000s, it has maintained a near monopoly
position. In 2013, Google owned 67% of the global search
market followed by Microsoft at 18% and Yahoo at 11%.
Google owns less than 3% of the global advertising market and
less than 0.24% of the global consumer tech market. Instead of
defining itself as a search company, Google has framed itself as
"just another tech company," which according to Peter Thiel,
the founder of PayPal, has allowed it to sidestep scrutiny.
Theil refers Google as a creative monopoly one that is “so good
at what it does that no other firm can offer a close substitute.”
In contrast with “illegal bullies or government favorites,” he
observes, “creative monopolies give customers more choices by
adding entirely new categories of abundance to the world.”
Google’s motto "Don't be evil" is a characteristic of new
Internet era monopolies that take ethics seriously, so that a
monopoly status does not jeopardize their existence, but allows
28. them to play a positive transformative role. It has become a
monopoly by inventing something many times better than any
peer product. Such creative monopolies drive progress, such as
when Microsoft displaced IBM, and Apple challenged
Microsoft’s decades-old operating system dominance. Being a
monopoly then helps these firms focus on caring for the
employees and for the society, unlike the firms who need to be
focused on today’s survival that they can’t possibly plan for a
long-term future. Thiel therefore claims that “monopoly is the
condition of every successful business”.
Many hold that the uncreative kind of monopolies is created not
by markets, but by governments. In the US, government
granted a monopoly status to AT&T in the late 1940s. Even
though AT&T scientists made several great inventions—
automatic dialing, new switchboards, executives make decisions
as a monopolist decided not to use these inventions.
Eventually, government had to force AT7T to license its
technologies to other firms, including a device called the
electronic transistor—which, in the hands of Texas Instruments,
became the basis for the computer. More recently, Uber and
Lyft have given choices to consumers by challenging the
protection of taxis by cities.
Others cite the efforts of the U.S. President Roosevelt whose
government went after many big-time players like Alcoa,
General Motors and the American Medical Association, in
support of its efforts to revive the economy after the Great
Depression of the 1930s.
Source: Adapted from Foer (2014) and Theil (2014)
Oligopoly: Oligopoly comprises of a few large firms that
perceive one another as mutually inter-dependent. Success
requires firms to consider the effects of their actions on the
competitors’ behavior. There is an intense rivalry along several
29. dimensions, such as price, quality, brand image, and market
share. The actions of one firm influence the performance of
other firms, and require counter-actions from the rivals if they
wish to neutralize or balance the competitive effects on their
performance. Rival firms seek to better understand the
capabilities of the competitor’s along with their strategic
priorities in order to better anticipate the behavior, and thereby
focusing on those specific actions that would prevent
detrimental responses and generating added value instead. Some
actions such as upgrading the product or service quality and/or
reducing the cost using technological breakthroughs that yield
first-mover advantage are difficult to replicate quickly and cost-
effectively – unless firms anticipate and plan for the actions of
their rivals. Therefore, competitive games in an oligopoly
become highly interactive.
According to Porter (1985) a firm in an oligopoly often
faces a dilemma. It can pursue the interests of the industry as a
whole and avoid price based competition, or it can behave in its
own self-interest at the risk of sparking retaliation and
escalating industry competition to a battle. Thereby, it is best
for a firm to strike a balance between industry level cooperation
(to avoid profit eroding warfare) and firm level competition (to
avoid giving up potential revenues and profits). One way for the
firms to do so is to merge with or acquire their rivals. In fact,
Lynn (2011) mentions in his book, “Cornered,” showing the
rising concentration and consolidation of nearly every American
industry since the 1980s. Dominance by two or three firms “is
not the exception in the United States, but increasingly the
rule.” For example, while drugstores seem to offer unlimited
choices in toothpaste, just two firms, Procter & Gamble and
Colgate-Palmolive, control more than eighty per cent of the
market share. Six movie studios receive almost 87% of
American film revenues. Four wireless providers (AT&T
Mobility, Verizon Wireless, T-Mobile, Sprint Nextel) control
about 89% of the cellular telephone service market. In many
industries, all the oligopoly firms collectively engage in the
30. practice of “parallel exclusion,” i.e. efforts to keep out new
entrants. In the 1980s and 1990s, established airlines like
American and United kept the startup rivals out through their
collective control of the landing ‘slots’ at major airports. Until
they were stopped by the antitrust rules, Visa and MasterCard
created parallel exclusionary policies trying to prevent the new
entrant American Express from succeeding in the credit-card
industry, including blacklisting banks that sought to deal with
American Express.
Others hold that oligopolistic markets may encourage
fierce competition among firms, allowing consumers to benefit
from low prices and high production. The carbonated soft drink
industry, for instance, has long been dominated by two giants -
Coca-Cola since 1886 and Pepsi Cola since 1899. They sell cola
drinks with similar taste and color, and controlled 70% of the
market in 2012 – with Coke at 42% and Pepsi at 28% (Walston,
2014). Both have the most advanced technology for lower costs
and have well-managed distribution channels, suppliers and
bottlers. They exclude new entrants by keeping prices low, so
that the entry is not profitable for the new entrants. They
consider the reaction of each other closely, and when one
reduces its price, the other follows to avoid customers
switching. Knowing that the other will match price-based
competition, they strive to compete on factors other than price.
They invest in extensive advertising to differentiate on
positioning: Coke represents happiness and moments of joy,
while it protects culture and maintains the status quo. Pepsi is
associated with capturing the excitement of life now, for youth
who are energetic, fun loving and daring. Both firms also invest
in research and development to advance their competitive
advantage. Coke has about 500 brands, including Coke, Diet
Coke, Fanta, Sprite, Dasani, and Powerade. Although it leads
Pepsi in most market segments, Pepsi has been quite successful
in developing new segments.
Overall new evidence suggests that most oligopolistic
markets tend to become ineffective, and ripe for creative
31. destruction by new firms. This is elaborated in Exhibit 6.7.
Exhibit 6.7 The Malaise of Oligopolies
The 2014 Nobel Prize winner for Economics, Jean Tirole, has
conducted an extensive research on market power and regulation
of oligopolies. He studied the break-up of state monopolies in
various industries such as railways, telecom, and healthcare,
into a small group of large firms – i.e. oligopolies. He found
that these private oligopolies colluded to set prices, quantity
and quality of goods, so that the privatization did not yield
anticipated benefits for the society. They engaged in
overinvestment to preempt entry of new firms, because
overinvestment allowed them to increase supply and lower price
to drive out new firms. The regulators had insufficient
information about cost structures and production function of
individual firms. He showed that the regulators who tried to
force oligopolists to lower prices and to accept lower margins
on public contracts created negative incentives for investing in
cost-reducing innovations.
Economic progress in several emerging markets is constrained
because of the presence of oligopolistic entities. In Pakistan,
after its founding in 1947, a cartel of 20 families – referred to
as Bees Gharanay – controlled markets and prices. While
many new families have joined this cartel since then, a small
group of very influential entities continue to exert oligopolistic
control over the nation’s agro-industrial production and
commercial/ retail estate business. They all collude to set
prices, deprive innovations, and create barriers to market entry.
Consumer prices in Pakistan are about 12 percent higher than in
India, and restaurants are 40 percent more expensive. Overall,
the local purchasing power in Pakistan is 48 percent lower than
in India. In July 2014, a McDonald’s burger in Pakistan cost
US$3.04, 74 per cent more expensive than in India (Haider,
2014).
32. Similarly, progress in several industries has been found to stall
when they are taken over by a few oligopoly firms. Toporowski
(2014) for instance reflects on the state of the media industry in
the US:
“The media has become an oligopoly. From movies to television
to newspapers, a few companies own most outlets. There is less
competition because there is less to choose. A person who reads
The Wall Street Journal and watches Fox News can say that he
is a well-versed person who understands both sides of an issue.
But, Rupert Murdoch owns both outlets, and both outlets are
known to host mainly right-wing conservative editorialists.
Comcast owns not only NBC, which airs NBC Nightly News,
but also AT&T, MSNBC and Time Warner Cable.”
New technology and globalization is allowing new firms to
challenge the lucrative oligopolies. For instance, many players
–Apple, Google, Microsoft, Netflix, HBO, Hulu, CBS and
Amazon — are entering the online media space. Online media
is fast becoming a powerful substitute for traditional media, and
is destroying the profits of cable, satellite and telco distributors.
Niche Markets: consist of market segments within the larger
marketplace that emphasize a particular need, or geographic,
demographic or product segment but that differ along some key
dimensions from other market segments in the marketplace
(Teplensky et al., 1993). Nichemanship is a method of carving
out a small part of the market whose needs are not fulfilled, and
matching these unique needs by specializing along market,
customer, product, or marketing mix lines (Shani and Chalasani,
1992). This allows each competing firm to dominate their
market niche; therefore such market structures are also referred
to as “monopolistic competition.” For instance, in the food
market, there are several alternative niche markets, such as
organics, local products, heritage varieties, biodynamics, and
humanely treated livestock. To develop and sustain competitive
33. advantage in its niche market segment, each firm invests into
co-specialized set of complementary assets, including brand
name, human capital, vendor relationships, and organizational
culture. These assets allow firms to take actions that do not
materially affect competing firms, thereby mitigating the risks
of customers switching to the firms in other segments. Niche
markets require firms to support their niches through continuous
value differentiation. Repeated, targeted actions allow the firms
to stretch their core competencies to enter into the niches
occupied by their rivals. Similarly, shifts in technology and
demand open opportunities in new niches. For instance, the
organic food market niche is sub-divided into two niches: one
where customers purchase organic food for environmental
reasons and the other where customers purchase organic food
for nutritional reasons.
Firms have two options for value differentiation in niche
markets. The first option, ‘vertical differentiation’, involves
adding high performance or quality features to the
complementary assets. As shown in Exhibit 6.8, vertical
differentiation strategies can be displayed using a cost quality
frontier. In the Indian hotel market for example, the Taj Group
– a five star hotel chain – is perceived by everybody to be
higher in quality and has a higher cost structure. In contrast,
Comfort Inn is a budget hotel, and is perceived by everybody to
be lower in quality and has thereby a lower cost structure;
whereas, Clark Hotels lies somewhere in between as a budget
option.
The second option, ‘horizontal differentiation’, involves
creating a distinctive niche by discovering a unique way of
combining and applying a common set of complementary assets,
and/or by appealing to a distinct customer group. As shown in
Exhibit 6.8, horizontal differentiation strategies can be
displayed using a circular mapping. Consider a city that has
three equally well-stocked grocery stores. The consumers tend
to prefer the one that is closest to their home, and thus
consumers vary in their preferences about the grocery store.
34. Exhibit 6.8 Horizontally and Vertically Differentiated Niche
Markets
From a strategy perspective, niche markets are attractive
when they have the following characteristics (Cuthbert, 2011:
4):
a) The niche is of sufficient size and has the purchasing power
to be profitable.
b) The niche has growth potential.
c) The competitors have put low priority or attention to that
niche.
d) The firm has the required skills and resources to exploit the
niche.
e) The customers in the niche have a distinct set of needs.
f) The customers prefer the firm that best satisfies their needs.
g) The firm gains certain economies through specialization.
h) The firm is able to defend its niche by constructing some
barriers to entry.
Consider the case of Household Insecticides sector in India, in
Exhibit 6.9. Godrej has identified several niches in this
Household Insecticide market, to capture an overall 50% share
across categories during the 2000s:
Exhibit 6.9 Godrej in India’s Household Insecticide Industry
The Household Insecticide industry of India in early 2000s was
about Rs. 10 billion (~$225 million). It was a market with huge
potential, attracting a large number of multinationals and local
firms. While 95% of households in India had an insect problem,
only 18% of rural households and 80% of urban households
used insecticides. Most of the players in the sector sourced
products from the smaller local firms to gain cost efficiencies
35. and to be able to expand market further into the rural areas
through alliances with the rapidly growing organized retail
sector.
The oldest player in the market was Balsara Hygiene,
who introduced Odomos brand in early 1960s as a personal
application cream for protection against the mosquitoes, but did
not expand its early franchise much. In 1984, Godrej launched
household insecticide in a new “electrical mat” category with its
brand Goodknight. Godrej became world’s largest producer of
household insecticide electrical mats, which by early 2000s
constitute 40% of the Indian household insecticide market, and
captured 70% share of the mat category.
In 1980s, Bombay Chemicals entered the market with
“tortoise” brand by inventing the “coil” category, which
constituted 25% of the Indian household insecticide market by
the early 2000s. However, Bombay Chemicals was slow to
seize the opportunities offered by the liberalization of Indian
economy. In 1994, the British MNC, Reckitt & Colman,
wrested the initiative, and became the leader in coil category
with its Mortein brand. Godrej also saw the opportunity; it
extended the Goodknight brand into the coil category, which
displaced Mortein brand to gain leadership in the coils with a
34% market share by late 2000.
Similarly, Karamchand Appliances pioneered the
“electrical vaporizer” category with its All-Out brand, gaining
70% share of the fastest growing segment of the market;
however, Godrej extended Goodknight into the vaporizer
category also, gaining a 25% share.
In 1992, Godrej entered the “aerosol spray” category with
a new brand “Hit”, gaining around 25% share. It also sought to
enter into the stagnant personal application category, based on a
new “gel” form developed through internal R&D.
These niche strategies allowed the household insecticide
market to grow rapidly, reaching about Rs. 40 billion by 2013.
Godrej decided to sustain its growth by going global. In 2010, it
acquired the Indonesia based Megasari group, a leader in
36. household insecticides, air fresheners and baby care. Indonesia
now contributes 40% to its household insecticides global sales.
It has plans to grow to other emerging markets in Asia, Africa
and Latin America, and to succeed by offering value products to
middle and low-income customers.
Adapted from Equitymaster (2000) and Chatterjee (2002)
A key success factor in the niche markets is the establishment
of close relationships with customers. An effective strategy is
usually based on the principles of differentiation and customer
service. Niche markets offer an opportunity to firms having
limited resources to establish a more stable long term market
position through relationship marketing, and the development
and maintenance of barriers to entry through product,
organizational and market innovations. Parrish (2003), studying
large firms in the textile business, found that these firms
developed niche domestic markets as a means of competing
against multinational lower cost producers. Exhibit 6.10
illustrates the strategies for identifying opportunities and
competing in a niche market.
Exhibit 6.10 Thinking Niche Markets
Niche markets are excellent platforms for startups to launch
their business successfully, and to grow into major players in a
larger market. They defy the logic that the probability of
success is directly correlated with the size of a target market.
They have been the basis for the rise of several niche players,
some of who have gone to become household names. To
succeed in niche markets, firms need a deep understanding of
their customers and their customers' needs and the ability to
stay engaged with those customers. They also need to
consistently produce quality, innovative products and possess a
genuine regard for the well-being of their employees. They
need to focus on meeting the needs of a smaller group of
37. customers without compromising their chance to increase the
appeal to a broader market. Household iron and luxury resorts
are examples of niche markets.
Household iron is a commodity product that generally retails for
less than $30. Since 1990, Switzerland-based Laurastar has
approached the household iron industry as a niche market, and
targeted a specific niche where irons can be priced from $900 to
$2,500. This is a niche of customers interested in pressing their
clothing professionally at home. Over a period of two decades,
from 1990-2009, it sold more than 2 million ultra high-end irons
to households in 40 countries. It has responded to competition
by hiring a team of high-caliber engineers to create the world's
smartest iron. Its new home pressing system is lighter, easy to
handle and features sensors which produce steam automatically
as the iron is pushed forward and stops immediately as the iron
is halted or moved backward. An active board assists with
pressing the garment as soon as the iron moves, thereby
reducing ironing time and effort by half and saving energy.
Further, it has sustained its growth by deciding to become
global, after its reached 25% penetration in Switzerland.
Luxury resorts are a premium product that generally caters to
sophisticated, wealthier travelers. Aman Resorts has
approached the luxury resort industry as a niche market, by
thinking small, intimate, and involving. Each of its resorts in
Asia, Europe and the Americas are quite different in location,
look, mood and guest experience. Yet they share the value of
environmentally friendly and aesthetically pleasing. They are
all romantic places in beautiful envrions, to offer a
contemporary lifestyle experience of the world around that
excites, shapes and nourishes. The strategy is anchored around
its staff - chambermaids, drivers, cooks, cleaners, gardeners and
guides – who perform invaluable small roles, pleasing the
customers and offering cultural authenticity in faraway places.
Instead of the over-the-top pretentions associated with other
38. luxury brands (think marble reception areas), it favors small,
distinct establishments that are designed to be in harmony with
their surroundings and the prevailing local architecture.
Source: Adapted from Bellisario (2009).
Perfect Competition: is characterized by the lack of significant
fixed costs or investments, and running business largely on
variable costs. Firms tightly monitor their variable costs, and
compete on efficiency. A most efficient use of the resources –
in particular the labor and effort of the entrepreneur implies that
the firms that use their labor less productively are forced to exit
the competitive game. The firms do not invest in developing
new technologies in-house or in expensive outside technologies
– instead they rely on affordable and accessible technology.
This allows newer firms to enter and survive, with limited
barriers to entry. A perfectly competitive industry is analogous
to a fish market near a fishpond open for public fishing, where
any person may catch and sell fish. With free entry, new firms
find it easy to set up shop and start producing and selling.
These firms also have the flexibility to shut shop at any time
without making any losses. This often invites fly-by-night
players to make a fast, extra buck by free riding on the public
goods and social infrastructure. Such predatory economic
conditions often challenge the ethics and the sense of social and
ecological responsibility of the players. Though the basic
economic theory considers perfect competition to be the ideal
state for social welfare, it does not provide effective conditions
for the growth of the firms or the industry. Exhibit 6.11
illustrates the challenge of a perfectly competitive market, and
the need for regulating this market to ensure at least some level
of commitment from the firms to build trust and success.
Exhibit 6.11 Perfect competition in India’s capital markets
39. In the 1990s, as the government of India embarked on
liberalization and globalization, India’s capital market rapidly
became more perfectly competitive. It became easy for all the
firms to raise capital, and the differences in reputation based
purely on accumulated family wealth became less salient. This
perfectly competitive market also encouraged fly-by-night
operators to access the capital market for making a fast buck for
themselves, and then purposefully declaring bankruptcy to avoid
all obligations for repayments of principal or interest and
dividend. Consequently, the sentiment of the primary suppliers
of capital was seriously hurt. In order "to keep fly-by-night
operators at bay," the government had to introduce appropriate
measures. It barred willful defaulters from making debt issues
and introduced the concept of `net tangible asset' to ascertain a
"minimum tangible existence of the company seeking to access
the capital market".
Source: The Hindu Business Line (2003)
The costs of government regulation must eventually be
borne by each of the players. Post the Enron corporate scandal
for instance, the US government imposed several stringent
regulations on financial and accounting firms in the US, which
severely limited their flexibility to service the competitive
needs of clients, and had added to their costs of due diligence
and monitoring the transactions.
The utility of the perfect competition market is greater as a
standard for promoting healthy competition. A major insight
from this concept is that when the access to infrastructure,
technology and knowledge is based on the pay per use model,
then more firms are likely to enter the market with limited risks
of huge losses if they fail. Such pay per use model can bring
about several creative endeavors and promote innovation and
growth. eBay and Amazon marketplaces are one of the closest
examples of perfectly competitive markets. They allow any
seller to offer their product without investing significantly in
40. the fixed costs of technology or inventory. Yet, for success and
growth on these marketplaces, individual sellers need to build a
history of positive reviews, trust and reputation, which in turn
enables them to charge a premium and have an edge as
compared to their rivals that lack such history.
Market Structures based on Industry lifecycle and Strategic
Behaviors
Based on the carrying capacity or industry lifecycle, market
structures may be classified as nascent (emerging cycle),
hypercompetitive (growth cycle), dominant (maturity cycle),
and fragmented (decline cycle).
Nascent Competition Market: are usually spurred by
technological innovation, newly emerging customer needs,
along with economic and sociological shifts. A distinguishing
characteristic of the nascent competition market is the lack of
any “rules of the game.” These markets are characterized by a
competitive race among the firms to establish their own
technologies, and to create a dominant market paradigm
centered at the use of their technologies by all the players. The
firms tend to make huge upfront investments for rapidly
commercializing their technologies. It is however, difficult for
most firms to make profits as technological, operational and
other logistics are not fully functional. This in turn jeopardizes
the entire cycle involving, vendors, stakeholders, customers and
investors alike. Thus, for a new entrant tasting success would
mandate it to right on top on several fronts: improved
technology, forging advantageous relationships with channel
partners, acquiring a core group of loyal customers, accessing
patient venture capitalists and entrepreneurial human capital A
firm first to introduce a commercial technology, gains a lead,
and might develop a “first mover advantage”. However, a
failure to cement the early lead may cede the window of
opportunity to the competitors. Exhibit 6.12 illustrates the vast
opportunities for the nascent commercial drone industry, made
41. possible because of rapid advancements in technology and
reduction in component costs.
Exhibit 6.12 Unmanned Aircrafts On a Commercial Flight
Drones are the unmanned aircrafts. The nascent lightweight
commercial drone industry is poised to transform industries
from exploration and farming to film and photography and even
online retailing. AeroVironment in the US has been a leader in
the small military drones, and is gearing up for first-mover
advantage in the commercial arena. It won an agreement with
BP to offer its military drone Puma AE to conduct day-to-day
operations like 3-D mapping of oil reserves in Alaska’s harsh
environment, in order to improve safety and efficiency. Puma
AE has a relatively long range, and was designed for
surveillance. Conoco Phillips oil company has also flown two
kinds of unmanned aircraft in unpopulated areas of Alaska and
over the Arctic Ocean. Aviation leaders like Lockheed Martin
and Northrop Grumman are watching the nascent drone market.
Boeing even acquired drone maker Insitu for $400 million in
2008, but decided to focus on making larger drones with law
enforcement and search and rescue applications.
The development in the commercial drone industry is
driven by the rapid improvements in sensor technology, and the
pressures from excited potential clients. The cost of the
components, technologies as well as the platforms that drones
run on is dropping dramatically to make development of
commercial drones feasible. In September 2014, the US
government gave permits to seven movie and television
production companies to fly drones, yielding to the multi-year
lobbying by these companies.
The government is still trying to spell out what is legal
and what is not. For use by the film studies, the US government
has mandated that the unmanned aircraft be used only on closed
sets and be operated by a three-person team, including a trained
drone operator.
Globally, several experiments are underway for using
42. commercial drones. The oldest commercial use was by Japan’s
Yamaha Motor Company. Its radio-controlled helicopter
drones weighing 140 pounds have been used since 1990s to
more precisely apply fertilizers and pesticides. Flying closer to
the ground, their spray is able to reach the underside of leaves.
In 2010, these drones were introduced in South Korea, and in
2013, in Australia. In Australia, television networks have
started using drones to cover cricket matches. Zookal, a Sydney
company that rents textbooks to college students, began
delivering books via drones in 2014. The United Arab Emirates
is working to deliver government documents like driver's
licenses, identity cards and permits using small drones. The
British energy companies are using drones to check the
undersides of oil platforms for corrosion and repairs. British
real estate agents are using them to shoot videos of pricey
properties. As a public relations stunt, a Domino's Pizza
franchise in the U.K. posted a YouTube video of a
"DomiCopter" drone flying over fields, trees and homes to
deliver two pizzas in June 2013. In the US, Amazon and
Google want to use drones to deliver packages. In 2014, the
California-based Matternet began selling a package of one drone
and two landing pads to government and aid organizations. It
sees tremendous potential of drones in emerging markets with
limited infrastructure, to deliver medicines and other critical,
small packaged goods, and to bring blood samples bound for
labs on return. It also believes that urban drones will replace
truck deliveries of single express packages. Germany's express
delivery company Deutsche Post DHL is testing a "Paketkopter"
drone to deliver small, urgently needed goods in hard-to-reach
places. Facebook is looking to acquire Titan Aerospace, a maker
of solar-powered drone-like satellites, to provide Internet access
to remote parts of the world. Because of all this, the drone
industry is expected to reach about $89 billion in 2020s, and
commercial drones are expected to capture 12 percent share of
that.
43. Source: Adapted from Lowy (2014)
Hyper-competitive market: it is turbulent and fast changing
where the rules of game are continually shifting, spurred by the
processes of globalization and information economy. It is
characterized by shrinking product life cycles, growing demand
for mass customization and individualized personalization of
products and services, increasing complexity of organizational
architecture, and intensifying pressures for controlling process
costs while sharing more value with the strategic vendors,
channel partners, knowledge workforce, and institutional
investors. In contrast to the nascent competition markets, huge
upfront firm-specific investments may not be sufficient and can
even be counter-productive if the firm is unable to recoup the
costs within a short period, given the high turbulence and
velocity of the market. Firms therefore seek to distribute up-
front investment requirements, either across a network of firms
or over time. On the one hand, they collaborate with key
reliable participants in the game to reduce risks and to pool
capabilities; on the other, they phase investments over time for
an early and timely achievement of key competitive milestones,
such as generating a positive cash flow. A strategic priority is
needed on developing a learning organization that continuously
discovers, generates, and applies knowledge for added value in
subsequent milestones, including additional product
development and market commercialization.
A firm competing on the edge of hyper-competition thrives on
the “guerilla advantage,” referring to skills, experiences, and
competencies to rapidly and repeatedly forming new sneak
competitive advantages based on different rules and resource
combinations than the existing strategies being used, and in the
process keeping the competitors on their toes. It does not
necessarily imply reinventing the wheel, rather making it better.
In a hyper-competitive market, it enables the firms to generate
“increasing returns” from their organizational learning, because
44. of a focus on the constant discovery of new ways to apply
technological endowments for added value. Consider the case of
Domino’s Pizza in the USA in Exhibit 6.13:
Exhibit 6.13: Domino’s Pizza and Hyper-competition
Domino’s Pizza was certainly not the first to offer home
delivery of pizza, but it was the first to give a free product
guarantee for the delivery of a piping hot pizza to customer’s
door in 30 minutes or less. Once most pizza retailers offered
home delivery, Domino’s initial advantage was gone. Domino’s
second action was to distribute direct mail coupons, its third
was to give its customers handy magnets for easy access to
Domino’s phone number, and fourth was to launch new
Heatwave hot bag technology to keep product at optimal heat on
delivery. These string of actions have allowed Domino’s to
keep its leadership of home delivery pizza market and keep
rivals off guard.
Adapted from Grimm & Smith (1997)
Without appropriate collaborations and/or without a long-
term strategy, firms find it difficult to succeed in
hypercompetitive markets, as illustrated by the case of
Radioshack in Exhibit 6.14.
Exhibit 6.14 - Radio Shack Grappling with the Hyper-
competitive Market
During the 20th century, RadioShack reinvented itself time and
again as the consumer electronics retail industry moved from
radio kits to sophisticated audio equipment, and then computers
and wireless phones. In 1977, RadioShack mass-marketed the
first fully assembled personal computer, and established itself
as the go-to store for personal computers and for do-it-yourself
consumer electronics hobbyists. In the 1990s, “The Technology
Store” RadioShack became the first-to-mass market an early cell
phone, even as it phased out computers in 1993.
45. In the 21st century, RadioShack has found itself being
attacked at many fronts, from Amazon and Wal-Mart at one end
to wireless providers at the other. In 1991, one of the
RadioShack ads offered a calculator, a computer, a camcorder, a
CB, speed dial, a portable CD player, a scanner, an answering
machine, a tape recorder, and a radar detector – altogether
costing $3,134.77 in 1991, the equivalent of $5,200 in 2014.
Today, Apple iphone and its apps can perform all these at a
fraction of cost. The only item not replicated by an iphone app
was a $149.95 three-way speaker with a 15 –inch woofer.
RadioShack is struggling to find a future for its 4,000 company-
owned stores, down from 7,000 a decade earlier. It has seen its
sales dropping 33 percent between 2005 and 2013. The record
net profits of $267 million in 2005 turned to record losses of
$400 million in 2013. In the age of digitalization and cloud
storage, each new app cuts RadioShack’s ability to sell a
product.
Unfortunately, RadioShack has failed to adapt to the
hyper-competitive marketplace, even though it operates in the
fastest-growing segment of retailing – consumer electronics.
From 2004 to 2012, it paid out $300 million in dividends and
spent $1.7 billion buying back stock. It also invested $200
million into a new Texas headquarters, opened in 2005. In the
1990s, RadioShack capitalized on the market for wireless
phones using a creative business model, which allowed it to
secure lucrative residual payments from two big carriers on
selling their two-year wireless phone contracts. However,
since then, Verizon, AT&T, Sprint, T-Mobile and smaller
players set up many company-owned stores, and Apple also set
up stores to sell the smartphones. Online and rival authorized
dealers fill in any gaps. All this competition has cut margins on
handsets to just about 20 percent.
RadioShack could have taken numerous successful
paths, to be Best Buy, Amazon, or Dell, but it instead sought to
respond to the hypercompetitive marketplace of the late 1990s
by investing into ill-conceived retail concepts, Computer City,
46. Energy Express Plus for batteries, McDuff appliance stores,
Video Concepts and the Incredible Universe megastore. None
of these worked, and all were either closed or sold off by the
late 1990s.
The challenge for RadioShack now is how to repurpose
its company-owned stores. Its new CEO, Magnacca, hired in
2013, is seeking to collaborate with tech developers and
connecting with the growing movement of tinkerers to bring
unique products and private-label brands into its stores. He is
seeking to set aside a section of each store as an Apple-like
genius bar where its staff can help people use devices, and has
rolled out Fix It Here, a mobile-device repair service there. He
is betting on the convenience of “having a ‘genius bar’ 10
minutes from your home rather than having to drive [long
distances] to an Apple Store.”
Source: Adapted from Slachter (2014).
Illustrating Nascent competition vs. Hyper-competition:
Exhibit 6.15 shows that firms may be able to gain and sustain
their first mover advantage for a substantial period during the
nascent competition stage. However, once several new entrants
enter, and the market becomes hyper-competitive, firms need to
continuously identify new sources of advantage to create and
sustain their performance.
Exhibit 6.15: Nascent vs. Hyper-competitive Markets
Dominant Firm: A dominant firm’s structure comprises of a
single large firm at the core, and several smaller firms at the
periphery of the market. The dominant firm functions as the
market leader or the focal point for fixing prices, and defines
the basic benchmarks for input costs, product value, and service
47. quality. The dominant firm generally enjoys a competitive
advantage based on lower costs deriving from an early entry and
“learning-by-doing”, large economies of scale, and proprietary
technology; but it may also offer a better product, especially for
customers seeking a low cost standardized offering. Smaller
firms focus on niches that are not profitable or attractive for the
dominant firm, due to factors such as smaller scale,
idiosyncratic resources and knowledge bases, and customized
services of the smaller firms in their target markets.
The dominant firm may partner with the smaller firms, such as
by making them its subcontractors in areas where they can offer
lower costs and/or greater variety-on-demand. However, the
smaller firms may be concerned about the power of the
dominant firm, or may not be able to scale up to meet the needs
of the dominant firm. Some of the smaller firms may be very
successful in growing their niches, and may be willing to be
acquired by the dominant firm in order to achieve more rapid
expansion. But, if the market is relatively mature and saturated,
then the growth of smaller firms may hurt the dominant firm,
increasing their motivation to either keep out or acquire smaller
rivals. However, if the smaller firms open new segments, the
dominant firm may not retaliate. For instance, consider the
German steel industry Pre-World War II in Exhibit 6.16.
Exhibit 6.16: Dominant Firm in German Steel Industry
Most of the major firms in the German steel industry had
emerged during the nineteenth century as suppliers of railroad
expansion and the large scale construction attendant to rapid
industrialization. As demand for rails and structural shapes
began to level off, a turbulent competition ensued. In the
aftermath of the recession of the post-World War I decade, the
four largest steel producers merged into a new firm, the Vestag,
in 1926, with more than 50% share of the market. Where Vestag
concentrated on more standardized fare and larger volumes
across finished-steel markets, the steel operations of the newly-
formed Konzerne produced specialty and customized finished
48. products. Though mostly regional entities, Konzerne’s acquired
downstream manufacturing interests (heavy engineering and
shipbuilding), to facilitate exchanges of information and gain
expertise for custom steel production. During the 1930s,
additional Konzerne-like firms entered by acquiring smaller,
non-integrated pig iron, steel and rolling mills that were broadly
dispersed throughout Germany and organized their output
completely around the specialized demands of the military-
related sectors. These firms remained viable even after the
German government formed Hermann Göring Werke as the
second largest steel producer in Germany, which offered high
levels of mostly standardized products.
Source: Adapted from Herrigel (2000).
A dominant firm generally poses significant policy and social
responsibility questions for business strategy. One of the major
issues is whether a dominant firm has the legal, ethical or social
responsibility to collaborate and support smaller firms and their
innovations or innovative potential, and/or whether it is
appropriate for it to learn from the innovative smaller firms and
render them unviable. Manishen (2014) observes,
“Could Uber be required as an antitrust matter to open its
system to Hailo drivers? Is Twitter liable to TwitPic for
integrating its own photo-posting function into the 140-
character tweet service, thus effectively putting some third-
party companies out of business? Are Microsoft, or Google, or
Apple required to open their APIs to competitors or, once
opened, legally prevent them from reverting to a closed
ecosystem?”
A special form of the dominant firm is the vertical dominance,
where a dominant firm forms captive vertical relationships with
vendors and distributors. Vertical dominance is often motivated
by a desire to promote mutual investments, and learning among
the partners. Exhibit 6.17 illustrates the pros and cons of
49. vertical dominance by Toyota and its suppliers, referred to as
Keiretsu, in the face of global competition.
Exhibit 6.17 Pros and Cons of Vertical Dominance of Toyota’s
Keiretsu
In Japan, the competitive advantage of some of the dominant
firms is based not only technology and process expertise, but
also faster innovations and radical cost reductions through
vertical relationships with suppliers – referred to as keiretsu.
Until the 1980s, the dominant firms relied on exclusive,
decades-old relationships with key suppliers, in which they held
equity stakes and from whom they bought parts using just-in-
time system. As the Japanese currency appreciated, the prices
of these parts were no longer most competitive. That hurt the
success of the dominant firms, and put pressures on them to
shift towards a more open relationship with the suppliers.
Toyota Motors has used the open model to strengthen
trust and collaboration with its vertical supplier base. Instead
of sourcing exclusively from suppliers with which it has long-
term relationships, Toyota also sources from the global vendors,
including from megasuppliers such as Magna, Johnson Controls,
and Valeo who offer very low prices to players around the
world and have the ability to provide sophisticated component
systems rather than just individual parts. At the same time,
Toyota reviews prices offered by alternative vendors worldwide,
in order to set price targets for long-term suppliers. To reduce
costs and development time, it encourages its long-term
suppliers to provide integrated value-added systems of
components, and to develop their capability to provide these
integrated systems. To help achieve cost, time, and quality
targets, it offers support to these long-term suppliers for
operational improvements, organizes study groups, and sends its
engineers to help vendors improve efficiency and quality and
reduce costs. It looks for opportunities in new models, if the
supplier is still not competitive in an earlier model. As a
result, by 2011, it ceased relationships with fewer than 20 of
50. about 200 suppliers as of 1991. For a group of 44 top
suppliers, their average revenue dependence on Toyota
remained about 80%, even as Toyota added new suppliers.
The vertical domination allows Toyota Motors to bring
its long-term suppliers to work with it at the planning stage to
develop new products. The suppliers are invited to Toyota’s
meeting rooms, where they work with its design, engineering,
production, quality, and purchasing teams. The experts from
suppliers sometimes work for about six months to three years at
Toyota, under a residential-engineer program. These meetings
have helped cut product development lead time, such as of bB
small wagon, from three years to as little as one year.
One of the limitations of the vertical dominance is
difficulty in succeeding in affordable automotive segments for
the emerging markets, which require the simpler, cheaper parts.
Toyota’s rival Nissan has surpassed it in China in sales growth,
because of its more open policy to tap local suppliers in
emerging markets. Nissan cut its long-term Japanese suppliers
by half in 2010. Toyota has found it difficult to open foreign
local suppliers, who are concerned that their knowledge will be
transferred by Toyota to its long-term suppliers. As a result,
after a surge of its operational margins from 5.1% in 1991 to
9.3% in 2007, Toyota has suffered a decline to 2.5% by 2011.
As it tried to drive deeper cost reductions at its long-term
vendors, it faced several quality problems and had to recall 9
million vehicles worldwide during 2009-10.
Source: Adapted from Aoki & Lennerfors (2013).
Fragmented: a fragmented structure is one in which no firm has
a significant market share for influencing the market outcomes.
The name of the game in here is “local responsiveness, wherein
repeat, local customers form the majority or often the totality of
business. While the products tend to be expensive and not very
well developed, the success depends on keeping the costs low
51. using a “bare bones” approach with low overheads, minimum
wage employees, and tight cost control. The prices are forced
down by limited demand; in fact just enough so that the firm
can cover its overheads, stay afloat, and generate some earnings
for the owner-managers of the firms to live. The budgets for
product development, market promotion, information
technology, and employee training tend to be non-existent or
very limited.
A fragmented structure often arises when the government
breaks-up a monopoly, or deregulates entry into an erstwhile
monopoly market. The telecom sector in the US for example
became highly fragmented after breaking up AT&T and
deregulation of entry of other players. Similarly, the
broadcasting business in India became fragmented after the
government allowed private entrants into a sector monopolized
earlier by Doordarshan.
Mergers and acquisitions is a dominant approach for
consolidating a fragmented market. Another way of connecting
the fragmented markets is through codification and franchising
of the business formula: food and motel chains, for instance,
offer standardized, efficient, low-cost “formula” facilities at
multiple locations. Finally, verticalization – developing deep
relationships with channel partners, customers and the vendors
– can also allow the firms to restructure the local, fragmented
markets, and to align with the globalizing marketspace. Many of
the fragmented structures are currently being transformed into
vertically networked and horizontally consolidated global
operations. The use of information technology for supply chain
management, quality assurance, and customer relationship
enrichment is a major force underpinning success in this new
competitive game, as illustrated in Exhibit 6.18.
Exhibit 6.18. Wal-Martization of Fragmented Grocery Market
The fresh produce industry has been traditionally characterized
by a fragmented, daily sales orientation. The firms typically
market seasonal products, with considerable quality and
52. quantity variation depending on the weather and crop condition.
Paradoxically, when the crop is poor and quality is low, the
prices in the industry tend to be higher. The products are
generally unbranded and undifferentiated commodities.
Supermarket chains, led by Walmart in the US, are changing the
rules of this game by developing partnerships with service-
oriented suppliers, who can provide fresh cut and processed
products year-round through investments in refrigeration
technology and in multiple fruit varieties that mature at
different times of the season. The vendors automatically
replenish the products, and share the responsibility for growing
the category through merchandising and quality control. The
products are branded using private labels, as well as by
developing new client accounts that may launch their own
brands based on the reliable year-round delivery. As a result
the market is rapidly becoming consolidated: sales by the 20
largest food retailers totaled $449.3 billion in 2013, accounting
for 63.8 percent of U.S. grocery store sales, an increase from
39.9 percent in 1993. Wal-Mart alone accounted for 26.1% of
the US grocery store sales in 2013.
Source: Adapted from Cook (2003) and USDA (2014)
Conclusions
In this chapter, we learnt about the entropy factors that make
firm’s existing resources, capabilities, and core competencies
irrelevant. In order to prepare themselves for the entropy
factors, the firms need to develop dynamic capability. That
requires firms to invest in appropriate structures, processes and
behaviors. It is not easy to make these investments, because the
firms existing resources, capabilities and core competencies do
not prepare them for the VUCA world that may be entirely
unanticipated and different. One effective tactics to foster the
experience and the environment where alternative structures,
processes and behaviors thrive in an organization is to
53. understand the different types of market structures a firm may
operate in. The firm may find these different types of market
structures in different business divisions and/or in different
regional geographies. Awareness and mastery of how to
operate effectively across these multimarket scenarios, will help
firms develop dynamic structures, processes, and behaviors to
not only survive but also thrive in the VUCA world.
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