This paper analyzes Michael E. Porter's view of the business world as outlined in "On Competition", a collection of his works that examines the Hobbesian nature of the international economy.
Abstract This paper analyzes Michael E. Porter's book "On Competition", a collection of his works that details the international economy. Porter's work has defined our fundamental understanding of competition and competitive strategy. His book is organized around three primary categories: Competition and Strategy: Core Concepts, The Competitiveness of Location, and Competitive Solutions to Societal Problems.The first section of the essay collection takes on competitive strategy, evaluating strategies and weaknesses for business, while the second addresses the role of location in competition experienced by government entities. Porter also analyses a number of sectors of the economy using his criterion of competition from what makes some global companies work to the relationship between business success and environmental regulation.
From the Paper "It isn"t only that there isn"t any free lunch. But while you?re shelling out hard-earned bucks for your repast someone else is pushing their way ahead of you, probably egged on by people you thought were your friends. At least that's Michael E. Porter's view of the business world as outlined in On Competition, a collection of his works that examines the Hobbesian nature of the international economy. The credentials that Porter brings to this project are impressive: a Harvard Business School professor, Porter is one of the most respected and innovative economists of his time. The author of 15 books, he advises both elected officials and business leaders in all parts of the world."
The paper is a review of the article "Thinking about Competitive Balance" by Allen R. Sanderson and John J. Siegfried from the Journal of Sports Economics. 2003.
Abstract The article "Thinking about Competitive Balance" by Allen R. Sanderson and John J. Siegfried compares different concepts of competitiveness, reviews research on competitive balance and the relationship between payrolls and performance, examines the rules and regulations that contribute to playing performances, and evaluates the possible effect of proposals such as payroll and salary caps, luxury taxes, and increased revenue sharing on competitive balance. The author of this paper examines and critiques the original article and presents his own conclusions.
From the Paper "The authors note that the league itself also creates some intentional imbalances to level the playing field and the fact that winning conditions create more winning conditions (i.e. the most talented players want to gravitate to the most popular, 'winning-est' teams), These include "reverse-order draft systems, various attempts to constrain players' salaries, revenue sharing" (Sanderson & Siegfried, 2003, p. 268). Some sports leagues have luxury taxes on top heavy teams as well (Sanderson & Siegfried, 2003, p. 268-269). "Lengthening a series reduces the probability that the weaker opponent will win; increasing the number of playoff rounds and the percentage of teams eligible for a championship reduces the chances that the best team will capture the championship" (Sanderson & Siegfried, 2003, p. 272). However, the authors do not include a counterbalance to such arguments--longer seasons also can result in viewer attrition of interest, the competition from other sports beginning while the season sprawls on, and the anger of fans if they feel that their team has been unfairly treated by new rules."
This paper answers five questions on monopolies, monopolistic competition, and oligopolies in terms of the Microsoft case based on the text by Schiller "The Macro Economy Today".
Abstract This paper is structured as five questions about monopolies, monopolistic competition, and oligopolies, based on the Microsoft situation, and whether or not it is a monopoly. The required text is "The Macro Economy Today", by Bradley R. Schiller. The first question covers the Microsoft current situation and its history. The second question defines a monopoly, the third question covers the situation of oligopoly as applied to the Microsoft situation, and the fourth question pertains to the condition of monopolistic competition as relevant to the Microsoft case. Finally, the fifth question looks at deregulation of the Microsoft. This paper is a useful resource material on the subject of Microsoft and monopolies.
Table of contents
I. Introduction
II. Answer 1: Microsoft's history and current situation regarding the monopoly issue.
III. Answer 3: A concept from the chapter Oligopoly? to the Microsoft situation:
IV. Answer 4: Monopolistic competition in Microsoft's situation
V. Answer 5: Deregulation of businesses in Microsoft's situation:
From the Paper "Answer 1: Microsoft's history and current situation regarding the monopoly issue.
The case against Microsoft started back in the early 1990. The first major issue, which started it all, was the fact that Microsoft was that Microsoft had been using its powers in the operating system market to force computer manufacturers to put its Internet Explorer on all personal computers on which they installed the windows operating system. This was making it very hard for other smaller players, such as Netscape, who also had an Internet browser to compete. This was just one of the many things that Microsoft was said to be doing wrong. The antitrust case by the US Department of Justice against Microsoft was accusing Microsoft of firstly, thwarting competitors in the operating system market, by making banners of entry in the market. These include exclusive bargain purchase agreements with all, or most major computer manufacturers. It also accused Microsoft of using its monopoly position in the marketplace to gain unfair advantages in the marketplace. Also, a trend was that Microsoft was also accused in this case of buying out competitors. "
Abstract This paper observes the movie theaters marketplace for facts in the nature of competition and the idea of ?perfect competition?, a concept rooted in the work of John Maynard Keynes. It examines the concept of equilibrium in the marketplace and traditional economic theory.
From the Paper "When we decide to go see our third viewing of "The Mummy Returns" we?re usually more concerned with what time the next show is than with what movie theaters ? with their 6-dollar tubs of popcorn ? can tell us about the nature of economic competition. However, the movie theater business is ? like all arenas of economic activity ? capable of telling us something about the structure of a particular market place, the history of that commodity or service and the nature of competition in that particular market place. Movie theaters can tell us something the nature of competition and indeed about the nature of the idea of "perfect competition", a concept with roots in the work of John Maynard Keynes and his questions about the concept of equilibrium in the marketplace. Traditional economic theory assumed that a group of producers operated in a perfect market for any given commodity with each producing only a small part of the whole supply. Thus, for each producer (and for each commodity) the price was determined by the market. Each producer maximized its profits by selling only as much as would make marginal cost equal to price, in other words, each producer would produce exactly the amount that, if any more were to be produced that the additional product would add more to costs than it would to profits (MacHovec, 1995, p. 38). Each producer of any commodity (whether widgets or blockbusters) thus worked to capacity, to the point where profitability was limited by rising costs (MacHover, 1995, p. 42)."
Abstract This paper discusses the difference between monopoly and competition. It is seen that in the United States monopoly usually exists in the government sector while competition is more prevalent in the private sector.
Abstract This paper attempts to show that research and development (R&D) is an important factor of competitive advantage as long as it involves the creation of marketable innovations. It points out that R&D is a rather complex procedure and it is important how R&D expenditure is managed. It also analyzes the contribution of innovation systems on leading economies, namely Japan and the USA.
Outline
Introduction
R&D and Competitive Advantage
R&D and Economic Growth
R&D and National Innovation Systems
R&D, A Complex Process
Characteristics of National Innovation Systems
Japanese and American National Systems of Innovation
Private Sector
Public Sector
Conclusion
Reference List
From the Paper "A century ago, technological change has been the result of random innovations made by individual and independent inventors only. However, in today's world, characterized by ever increasing global competition, companies as well as governments put their emphasis on organized innovation in their strive for accelerating the process of obtaining technological advance. Organized innovation refers to innovations as the outcome of systematic investments in research and development (R&D) in order to achieve competitive advantage."
Abstract This paper provides a critical analysis of Alfie Kohn's "No Contest: The Case Against Competition" including key concepts, critical analysis and implications for Total Quality Management (TQM) environments.
From the Paper "Competition is an integral part of daily life in the United States; indeed it is so commonplace that most of us do not consider how pervasive competition has become ..."
Tags: No contest, case against competition, competition, TQM, total quality management, Kohn, Alfie Kohn, book review
Abstract This paper discusses competition in the airline industry. It contends that while there have been some advantages for the airline passenger in the changes in the ways in which airline companies are structured, in general these changes have served to benefit the companies and their stockholders at the expense of ordinary consumers.
From the Paper "The most important developments in the American airline industry over the past generation have not come about through technological advances although certainly there have been some important technical break-through such as more efficient wing de-icers that ..."
Abstract This paper analyzes international trade and competitiveness from the perspective of globalism, emphasizing their strengths and responding to arguments against them. It includes a general discussion of globalism and the global economy.
From the Paper "International trade can be viewed from a number of perspectives but globalization is arguably the most compelling. When globalization became a reality, all of the old international trade paradigms from centuries past ..."
Tags: international trade, globalism, globalization, competitiveness
Abstract This paper describes the competition between Airbus in Europe and Boeing in the United States, two producers of jet airliners. The actions by both manufacturers to gain advantages over the other is seen through purchases of equipment, changes in design, special deals to gain more customers, targeting different countries for special attention, and even direct conflict through legal action.
Abstract This paper discusses the strategies that Mattel is using to gain a competitive advantage for their line of Barbie dolls over other company's similar products such as the Bratz dolls. The paper analyzes Mattels' decision to eliminate the Ken doll in order to put a new face on Barbie, the existing rivalry between competitors in the same market, and the threat of new competitors entering the market. The paper also looks at the bargaining power of both suppliers and buyers and concludes that only if Mattel can convince young girls that Barbie is special and remains interesting and relevant to girl's lives today can Barbie survive into the 21st century.
Outline:
Intensity of Rivalry Among Existing Competitors
Threat of Entry by New Competitors
Pressure from Substitute Products
Bargaining Power of Suppliers
Bargaining Power of Buyers
From the Paper "According to Mattel's Feb 12, 2004 press release "The Break-Up of the Millennium for the 'Doll' of a Couple," after more than 43 years together, Barbie and Ken, have decided to spend some "quality" time apart. Despite the fact that anecdotal evidence suggests that Ken is a less than desirable addition to the Barbie family, often scratched off Christmas lists to make room for the purchase of additional dream house furniture and shunned by girls who would rather 'be' Barbie during playtime, the press release presents the alliance between the doll couple as a legendary romance. However, it also admits that Barbie has not always been faithful, and while Ken has been Barbie's sweetheart and supporter, "Barbie has befriended some of the world's most famous celebrities, from popular boy bands to super secret agent spies," and now she looks forward to life as a independent young woman. Barbie is now evolving into a "Cali Girl," a more carefree girl and returning to her Malibu roots."
Abstract This paper begins with a look at the evolution of international competition policy, then focuses on the promotion of competition in worldwide markets and the role of inter-government cooperation in setting the policy environment for better and more productive, as well as fair, competition. It examines efforts being made to address the perceived risk that the conduct of some private businesses may reduce competition and potentially undermine government actions to promote competition (e.g., trade liberalization and deregulation). It includes a look at the adoption of both EU-level and national-level competition laws, which target anti-competitive business conduct resulting largely from US advocacy, and the importance attached to competition law in the context of EU membership. Finally, the potential role of the WTO is discussed.
Evolution of International Competition Policy
Promotion of Competition in World Markets
Role of Inter-Governmental Cooperation in Setting Policy
Private Business Practices That Reduce Competition National vs. EU-Level Competition Laws
Role of the WTO
From the Paper "Economic interdependence among countries across the globe has increased sharply in the past fifty years. This international economic interdependence has made vast contributions to greatly improved standards of living for most countries. Ongoing international economic integration bears the promise of further and larger benefits. However, the increasing sensitivity of national economies to events and policies that originate beyond their borders creates dilemmas and pitfalls that may prove to be disastrous if national policies and international cooperation are less than well managed."
Abstract To the person on the street, the concept of competition is easy to understand. It is basically two businesses battling it out in the marketplace for the customer. However, behind the scenes, things are more complex, with organizations trying to achieve competitive advantages and multiple forces pulling organizations in different competitive directions. The invisible hand of economics continues to work hard to make market places achieve equilibrium, however dynamic.
This paper discusses some of these factors, using three popular concepts of competition: forms of competition, three types of competitive advantage and Porters five forces model of competitive advantage.
From the Paper "Every corporation would like to have competitive advantage. History has shown that different organizations have tried to achieve competitive advantage in different ways. We live in a culture of "quarterly financial statement targets". Hence it is easy to forget that a corporation needs to have not just a competitive advantage but a sustainable competitive advantage. Note that for short periods of time, there can be an innumerable source of competitive advantages, but many of them might be difficult to sustain. Because of this reason, scholars have identified the following three as major types of competitive advantages."
Abstract This paper examines the two types of competition, perfect and imperfect competition, as well as the various concepts regarded as subdivisions of these concepts. The paper also examines Michael Porter's five forces model, which is based on these economic concepts of competition. It shows how Porter offers an insight into the intensity of competition and focuses on the factors that affect rivalry between firms in any industry.
Paper Outline:
Introduction
Perfect Competition Oligopoly
Monopolistic Competition Porter's Five Forces Model
Barriers to Entry
Rivalry
Consumer Power
Threat of Substitutes
Competitive Advantage
References
From the Paper "Porter explains that barriers to entry play an important role in determining the intensity of competition within an industry. When few players exist and there are high restrictions placed on the entry of the new firm, the existing companies might become less competitive as they are certain of their market share and feel that no new entrant can threaten their position. On the other hand, if there are no barriers, competition can be absolutely intense, giving rise to extreme rivalry and constant change in prices or marketing strategies. Barriers can range from government restrictions to inherent limitations such as high cost of machinery or equipment needed for that business etc."
Abstract This paper attempts to show the objectives and positive impacts of competition in banking and tries to analyze the negative impacts by explaining the reasons why competition can have bad repercussions on the banking system. The paper also discusses to what extent competition should be limited and controlled.
Outline:
Introduction
Positive Effects of Competition in the Banking Industry
Negative Effects of Competition in the Banking Industry
Control and Limits to Impose To Competition in Banking
Conclusion
From the Paper "Competition in banking can be beneficial for the clients. Indeed, the bank industry must be considered by the same way we consider any other industries. Every client is specific because he has his own needs in terms of banking demand, which are different from another one's. In this case, competition is a good means to diversify the supply among banks. A banking product does not exist, it is a group of characteristics such as a remunerated account or not, with banking charges or not, other banking services or not, ... etc. Competition in banking consists in providing the clients with the most customised service in order to better meet their needs. In this case, if the service provided by a bank does not suit the client's needs, nothing can prevent him from changing his bank to find the most adapted characteristics he is looking for. This is quite an important goal of the banking competition."
