Quiz 3 score: 18/18
Question 1
What four attributes influence an industry's favorability to new firm entry? Choose the four that
apply.
Demand conditions
Innovation potential
Market attractiveness
Knowledge conditions
Industry structure
Industry lifecycle
Question 2
What knowledge do you possess that can contribute to serving a market need within your
industry of interest? Please respond in one paragraph.
Answer for Question 2 Based on my education and personal interest and experience (knowhow), I believe I can serve the needs of education systems that want a fully integrated digital
learning environment that draws on scientific research (cognitive neuroscience) and gamebased learning (experience, social capital of having a lot ITers in my network).
Question 3
What are the demand conditions in the market need discussed in prior question? Please respond
in one paragraph.
Answer for Question 3 The magnitude of customer demand is enormeously big: all countries
have some form of educational system and curriculum that is obligatory. Second of all, the rate
of growth is also very big due to exponentialy evolving technologies and accesability of thsoe
technologies. And thirdly, the heterogeneity of this demand across segments is rather big as
well due to the different demographics in education (teachers, kids, young adults, parents etc).
Question 4
What is the lifecycle stage of industry and market that you are interested in entering? Please
respond in one paragraph.
Answer for Question 4 Young adult-like, because the lifecycle stage of education industry is
always evolving (K-12 or 21century education is a hot topic), and the game-based learning
market is only just starting due to new technologies.
Question 5
What complimentary assets are most critical in the above industry and market of interest? Please
respond in one paragraph.
Answer for Question 5 In education and IT it is all about knowledge. Having relations in both
these worlds realy helps to test out a hypothesis for a product, so the financial complimentary
asset is the elast important one I believe. Knowledge and having a social capital that can get
you this knowledge are the two msot inportant complimentary assets in both the market/industry
of education and IT as described above.
Question 6
What are the four characteristics of industry structure? Choose the four that apply.
Capital intensity
Regulatory issues
Psychographics
Advertising intensity
Firm concentration
Demographics
Firm size
Question 7
Discuss the five competitive forces that determine industry profitability. Please respond in one
paragraph.
Answer for Question 7 rivalry determinants that is important due to the amount and resources
your rivals have to steal your cliënts or brands, so their diversity is also important. Secondly the
determinants of buyer power: if a buyer has a lot of power, it means they have a lot of options
(competitors) to choose from, so you need to create a loyal customer base that cannot bargain
leverage. Or aren't so price sensitive (because of your product being rare). Determinants of
substitution threats means that if a competitor has a similar product or substitute that is
cheaper, you are in trouble depending on your brand. The entry barriers are the msot important
force of competition by Michael Porter because if the entry barriers are low,t hen it is easy
foryou to enter a business/market, but also easy for other entrepreneurs as well. So once you
are in, you want to raise these barriers to avoid would-be competitors.
Question 8
Sustainable competitive advantage can only be maintained until competitors are able to duplicate
or develop a compelling substitute.
True
False