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But competition is not perfect and firms are not unsophisticated passive price takers. Rather, firms strive for a competitive advantage over their rivals. The intensity of rivalry among firms varies across industries, and strategic analysts are interested in these differences.
Economists measure rivalry by indicators of industry concentration. The Concentration Ratio (CR) is one such measure. The Bureau of Census periodically reports the CR for major Standard Industrial Classifications (SIC's). The CR indicates the percent of market share held by the four largest firms (CR's for the largest 8, 25, and 50 firms in an industry also are available)...
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Common topics in this essay:
- Analysing McDonalds (fast food outlets) using the Porters 5 forces model – sometimes called the Competitive Forces model.
- In certain cases Porter's Diamond of Competitive Advantage may not be an appropriate framework for the analysis of a nation's sources of competitive advantage.
- PC Industry and Porter 5 Forces Analysis
- PORTER'S 5-FORCES MODEL
- Porter'S Five Basic Forces Of Competition - Analysis Of The Banking Industry
- Porter'S Five Forces A Model For Industry Analysis
- Porter's Five Forces a model for industry analysis
- Porter's five basic forces of competition - Analysis of the Banking Industry
- porter five forces model
- porter's 5 forces on airline industry
- porter's diamond Competitive Advantage of Nations
- What is Porter's 5 Forces analysis? What are the main aspects of Porter's 5 Forces analysis? How to write Good Porter's 5 Forces analysis of a company? Where to find information for Porter's 5 Forces analysis.
- PORTER'S 5-FORCES MODEL
- The airline industry and Porter five model forces
- PC industry and porter's 5 forces
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