Question: Please help me with coming up with an attractiveness test for Samsung with referencing the following if possible, Samsung electric, Samsung heavy industries and Samsung
Please help me with coming up with an attractiveness test for Samsung with referencing the following if possible, Samsung electric, Samsung heavy industries and Samsung engineering! Thank you so much for your help. Please provide any supplement information if possible.
When pursuing or considering pursuing a strategy of related diversification, you should utilize Porters three tests of diversification (the attractiveness test, the better-off test, and the cost of entry or the value of disposition test). Let us start with the Attractiveness Test. Macro-environmental factors affect the attractiveness of the individual SBU industries. Thus, you should precede the use of the five forces model for each SBU with a macro-environmental analysis. Be sure to select a date for the macro-environmental analysis, which should be the same as for the attractiveness tests.
The basic test of industry attractiveness is the five forces model, which means that you must demonstrate compliance with its three prerequisites:
A specific date
A narrow industry definition
Competitive interdependence
Compare the attractiveness of each SBUs industry, together with the macro-environmental model for each industry. Explain what these comparisons mean for each SBUs prospects for success. Although it is preferable for completeness to analyze each SBUs attractiveness, the focus of your analysis should be on the core SBU and at least one other. Review all of the moderators affecting the threat levels for each of the five forces. These are in your notes on the video lectures. Do not simply name a threat level as high, medium, or low. Review each of the moderators to develop a comprehensive analysis.
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