Key Elements of a Market AnalysisSeptember 18, 2009

Business Strategy

MGM465-0903B-02

Phase III Group Project

Professor: Dr. Jill Starman

By: Irvin Fitzgerald

Market Size and Growth Rate

How will we obtain the information?

Government data that provides demographic data.

Financial data retrieved from competitors.

Customer email, phone, and mail surveys.

Determining the predicted rate of growth.

Historical Data + Future Goals = Forecasting

Market Profitability

Porter’s Five Forces

A. Buyer power.

B. Supplier power.

C. Market entry barriers.

D. Threat of quasi-products.

E. Heightened competition in the industry.

Industry Cost Structure

Cost Structures include:

Transaction costs.

Sunk costs.

Marginal costs,

Variable costs, and

Fixed costs.

Distribution Channel & Market Trends

Things that may affect the end product or revenue are:

Breaks in the distribution channel (vendors, sub-vendors, and/or storefronts).

Logistics of shipping products (scheduling and tracking).

The economy (rising fuel costs passed on to the customers)

Market Trends include:

Distribution channels (competing distribution channels) and,

Demographics (expanding suburbs).

Success Factors

Access to essential unique resources

Retrieving and implementing customer feedback

Competitive distribution channels.

ReferencesCoulter, M. (2008). Strategic Management in Action (Fourth ed.).

Upper Saddle River, NJ: Pearson Prentice Hall.

Dehoff, K., & Jaruzelski, B. (2007). The Customer Connection:The Global Innovation 1000. Retrieved September 16, 2009, from Strategy and Business: http://www.strategy-business.com/article/07407?gko=a8a10

Fixed Costs. (2009). Retrieved September 15, 2009, from Investorwords.com:Definitions: http://www.investorwords.com/1992/fixed_cost.html

Marginal Costs. (2009). Retrieved September 15, 2009, from Investorwords.com:Definitions: http://www.investorwords.com/1992/marginal_coct.html

Market Trends. (2009). Retrieved September 15, 2009, from Encyclopedia:The free Dictionary: http://encyclopedia.thefreedictionary.com/Market+trend

Marketing Strategy. (2009). Distribution and Channel Strategy. Retrieved September 15, 2009, from The Marketing Donut: http://www.marketingdonut.co.uk/marketing/marketing-strategy/distribution-and-channel-strategy

ReferencesNetMBA. (2007). Market Analysis. Retrieved September 1, 2009,

from NetMBA.com: http://www.netmba.com/marketing/market/analysis/

QuickMBA. (2007). Strategic Management:Porter's Five Forces. Retrieved September 15, 2009, from QuickMBA.com: http://www.quickmba.com/strategy/porter.shtml

Sunk Costs. (2009). Retrieved September 15, 2009, from Investorwords.com:Definitions: http://www.investorwords.com/1992/sunk_cost.html

TaskList. (2009). Course Materials: MGM465-0903B-02 : Business Strategy. Retrieved August 27, 2009, from CTU Online: https://campus.ctuonline.edu/MainFrame.aspx?ContentFrame=/Default.aspx

Transaction Costs. (2009). Retrieved September 15, 2009, from Investorwords.com:Definitions: http://www.investorwords.com/1992/transaction_cost.html