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Do the following trends weaken or strengthen the competitive advantage of Shomei and to the other competitors in the greeting card industry?
Why?

1) Increases in oil and gas prices
2) The change from seasonal to everyday cards

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Solution Summary

Do the following trends weaken or strengthen the competitive advantage of Shomei and to the other competitors in the greeting card industry?
Why?

Solution Preview

Increase in oil and gas prices will erode profit margins due to increase in distribution and other operational expenses. Thus, it will be a loss of competitive advantage for Shomei as well as other players because of erosion of profit margins/ operating margins. Increase in oil ans gas prices leads to increase in cost of production as energy is ...

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