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Solution Library
Report on Industry Attractiveness
Question
Prepare a short analysis on the attractiveness of the industry you have selected. Limit your analysis of industry attractiveness to a maximum of one typed page. Some questions that may be relevant to your summary are included below.
- What is the size and growth rate of the market, e.g. what were annual United States sales for the industry during the past ten years according to the Standard Industrial Classification (SIC) or the North American Industrial Classification System designation (NAICS)?
- What is the stage of the product life cycle, e.g. has the market entered the mature phase where any gain in customers must come at the expense of competitors?
- How cyclical is the market, e.g. does the market exhibit any business cycle or seasonality which could cause cash flow problems?
- What is the cost structure of the industry, e.g. does the industry appear to be capital intensive or exhibit a high degree of operating leverage?
- How profitable is the industry, e.g. what were average industry earnings for the last ten years according to Standard and Poors?
- To what extent is the health of your industry dependent on events in another industry, e.g. are your customers original equipment manufacturers concentrated in an industry which depends on interest rates?
- How easily can products from other industries be substituted for your product, e.g. are there trends in other industries that suggest there may be new substitutes for your product in the near future?
Summary
The question belongs to Marketing and it is about preparing an Industry Attractive Report. The industry that has been chosen here is the Sports and Leisure industry. With increased endorsement deals, television coverage, rights and deals, sports and leisure industry has emerged as one of the best industries in terms of revenue. One of the main driving forces in the sports and leisure industry is the live coverage on television and global audience for sports.
Total Word Count 342
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