1. Make an assessment of the attractiveness of the Global Tire Industry applying the Five Forces Model of Porter?
a. Fill out the worksheet on Industry Attractiveness and assess the industry?
b. What is your explanation for the results reported in exhibit 14?
c. How severe are the threats to the industry profitability?
d. What is your prediction about future industry consolidation? Is more consolidation inevitable? If so, what forces are driving the industry towards consolidation?
2. Can you discern strategic groups within the Global Tire Industry in 1999?
a. If so, what are these groups and how would you position them?
b. What are the mobility barriers between the groups?
3. What is your evaluation of Michelin's position in the industry?
a. How would you define the business definition of Michelin (what, who and how) (see Markides)?
b. What recommendations do you have for Michelin to strengthen her position?
c. What special recommendations would you offer to Edouard Michelin?
Make an assessment of the attractiveness of the Global Tire Industry applying the Five Forces Model of Porter?
Impact of Five Forces Analysis
The Five Forces model is a critical component of the analysis. Please:
o Identify how each force impacts the trucking industry and Werner (www.werner.com) in particular.
o Is this an attractive industry to invest in?
o What generic strategy is Werner (and top competitors) pursuing?
o How will the competitive environment change in the next year and 5 year period?