Buyer power tends to be higher if suppliers provide undifferentiated or standard products. 3. Porter's five forces model helps to determine both the nature of competition in an industry and the industry's profit potential. 4. If all of Porter's five competitive forces for an industry are weak (low), then established companies in the industry have the potential to raise prices and earn higher returns.
1. Describe the differences between nonprofit and for-profit hospitals. LITERATURE REVIEW Economic theory states that FP hospitals will operate more efficiently due to the profit motive while NP hospitals will have higher quality of care. Many studies have examined this theory. Some research suggests that the FP form of ownership structure achieves greater productive efficiency than the NP form.
Also, project managers can more effectively delegate assignments based on competency levels which should help increase productivity and product defects. Overall, increased productivity and defect elimination should directly
However, as for the summary of the article I will explain how each of the forces model relates to this article. The purchasing power which is also known as the buyer power is higher when the buyers have more choice. The companies are forced to add value to their products and services in order to maintain their loyalty. Many bonus programs are excellent services that customers want on-line. Customers want to solve their problems and often are more successful on-line and on phone.
This will show us how much customers like our product and if our performance and size fit their preferences. Another estimate that we could have is by multiplying the growth rate by the current unit demand of a segment and then multiply this answer by our current market share. This will give us an estimate according to the increase demand of the population who are interested in this market. Finally, our last strategy was the market share report in the Capstone courier, which we considered our best strategy since it is the most detailed and accurate one. This strategy is more accurate because it shows us in cases where a product stocked out, how much it would have sold since this affects all of the competitors sales for next year.
Developing countries also benefit as the population get access to employment and the development of new skills, leading to more money being spent helping the economy to improve infrastructure and services improving the quality of life in the country. TNCs that do well in the developing countries raise the status of the country encouraging investment from other well know transnational corporations and most importantly it will improve the country’s economy drastically as valuable export revenues will be earned. On the other hand, most developing countries do not benefit as much as developed countries do, for example, sometimes much of the employment is low paid, low skill and long hours meaning that the country does not develop economically or give the opportunity to develop their skills. Another drawback is that there has been large negative press about TNCs and the poor working conditions in which people operate in; this includes the lack of safety requirements and the long hours of working. Transnational corporations like high profit, and countries where there is less regulations, therefore they often go to countries where there is less ‘red tape’ with regard to safety leading to TNCs
Investing in cross-cultural training will benefit SWU. Common benefits of this training include a better return on investment in employees. This result is seen through increased creativity, increased ability to compete is a global market, and increased employee satisfaction costs (DTUI, 2004). These benefits will result in lower turnover and reduced hire/training expense. Teams comprised of mixed ethnicities, backgrounds and gender are likely to be more creative than single cultural teams (Caron, 2007).
• The compensation was good because of the way it was set up for the employees. • Increase in ad spending created better brand awareness. Weaknesses: • They had higher retailer margins and could have given market share to other two companies. • Not much of a barrier to entry in this business • Management not been happy with the decreased prices in order to increase market share. The company has been so successful because of the four different ranges of high quality products they have.
This also involves promoting staff, this can make employees feel valued and can encourage better behaviour in the workplace and may also cause the employee to perform better if they show more self-worth. 5. Self-actualisation needs- this involves setting challenging assignments for employees with this need, they may feel their work is meaningless unless they receive a challenging assignment, employees at this level need to feel they are working for a good reason. The ability to self-actualise is mostly related with the privileged The process theories of motivation attempt describe and analyse how personal factors (internal to the person) interact and influence each other to produce certain kinds of behaviour. The equity theory is an
Since privatisation, companies such as BT, and British Airways have shown degrees of improved efficiency and higher profitability due to the competitiveness within their respective industries. It can also be noticed that vast improvements in technology have occurred due to investment in order to achieve these efficiency and profit increases. As efficiencies increase, firms are more willing to produce at a lower price, effectively shifting the supply curve to the right. This causes a reduction in the price from P1 to P2 and an increase in the equilibrium quantity from Q1 to Q2. Another possible advantage of privatisation is an increase in competition as the privatisation of state owned monopolies usually occurs at the same time as deregulation of the industry.