Nobody downloaded yet

The Diamond Model which has been penned down by Michael Porter - Essay Example

Comments (0) Cite this document
Summary
The Diamond Model which has been penned down by Michael Porter is a very effective model when it comes to studying the topic of competitive advantage of nations. This world is fast becoming a global village, and thus the interdependency between nations is increasing day by day…
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER95.4% of users find it useful
The Diamond Model which has been penned down by Michael Porter
Read TextPreview

Extract of sample
"The Diamond Model which has been penned down by Michael Porter"

Download file to see previous pages This advantage is gained by the nation by increasing demand for that commodity by other nations. Either the nation with the competitive advantage has gained this edge because of the cheap labor available in their region, or it is due to the amazingly high quality of resources that are available within their region. The reason can be any - but once the competitive advantage has been gained, it goes a long way in helping the nation to rule the international market for that commodity and it even gives the nation the power to dictate prices at times, especially if there is scarcity of that commodity or the raw materials needed to make that commodity in other parts of the world, or if the commodity is a staple good or a fast moving consumer good.
Thus, competition, in today's age, is not limited to domestic competitors. Rather, the competitors are now present worldwide for a single industry. Thus, Porter's model becomes the most comprehensive model available for this purpose only - to help nations make policies which will help them out beat their international competitors.
1. Firm strategy, structure and rivalry: Strategy is the way through which the nation aims to achieve its goals. If the nation aims to achieve strategic competitive advantage in four industries: wool, cotton, wheat and rice, then it need to work accordingly. Moreover, it also has to structure the domestic industry in a manner which instills competitiveness within the domestic players only, so that the overall industry can reach a higher level. Rivalry is the competition that is ignited within the local competitors, so that they work independently and also in groups to achieve the nation's policy of achieving global competitiveness in the international arena.
2. Demand conditions: A nation's policy on competitiveness around the globe will depend on the demand that exists for its products. The nation's industry can never stand out in a global sphere if the local demand does not match the international demand. If, for instance, the cotton produced in the local areas is of low quality and the local consumers are satisfied with that, then there is no scope for this industry to flourish internationally. This is because if the local demand is not demanding enough out of the industries, then they would never improve their level of quality, service or the elements that make a product from good to better to best. Thus, the more demanding the customers in an economy, the greater the pressure facing firms to constantly improve their competitiveness via different radical innovative product offerings etc.
3. Related and supporting industries: If an industry has to gain competitive advantage internationally, then it should also engage the support of the related and supporting industries. For instance, while making national policy, the related and supporting industries for the government would be the media industry, because of the amount of ...Download file to see next pagesRead More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“The Diamond Model which has been penned down by Michael Porter Essay”, n.d.)
Retrieved from https://studentshare.org/miscellaneous/1522355-the-diamond-model-which-has-been-penned-down-by-michael-porter
(The Diamond Model Which Has Been Penned down by Michael Porter Essay)
https://studentshare.org/miscellaneous/1522355-the-diamond-model-which-has-been-penned-down-by-michael-porter.
“The Diamond Model Which Has Been Penned down by Michael Porter Essay”, n.d. https://studentshare.org/miscellaneous/1522355-the-diamond-model-which-has-been-penned-down-by-michael-porter.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document
CHECK THESE SAMPLES - THEY ALSO FIT YOUR TOPIC
Diamond
...Diamond; A Journey To The Heart Of An Obsession Mathew Hart’s “Diamond; a journey to the heart of an obsession” narrates the story of the large pink from a Brazilian riverbed. The small-scale miner in the area made this discovery. The miners needed people with greater experience in the mining industry to sell the rock. The book displays the scrutiny of rocks in the business in values of weight, shape, clarity. Every gemstone has its own gleam and character, low on some and great on others. When the brokers see the rock, it strikes interests immediately. Hart tells of the geology of the great stones. A boy in a South Africa found the first stone in the 1869 lying on a firm. This created...
3 Pages(750 words)Book Report/Review
Business structures and competitiveness of Canada Analysis using Michael Porters Diamond Model of International Competitiveness
.... Usually, the ability of countries to cover their debts and to respond to the needs of local population is considered as indication of economic strength. In practice, it has been proved that the competitiveness of countries refers to a variety of requirements; these requirements need to be met in order for a country to be characterized as highly competitive. The particular issue has been explored in the literature, due to its critical importance. The most common framework for evaluating the competitiveness of countries is the Diamond model of national competitiveness. This model promotes the view that national...
8 Pages(2000 words)Essay
Michael Porter 6 Forces
...? Consumer technology industry Michael Porter’s 6 Forces Michael Porter arguers that there are six forces that determines a company’s competitiveness and that these forces may change over time as the company’s conditions change (Ha?ma?la?inen, 2004). These forces are entry threats, rivalry from existing competitors, threat of substitution, bargaining power of suppliers and the bargaining power of buyers and complementary factors. Entrants’ threat New entrants invade the existing market and bring competition and changes in the market environment (Ha?ma?la?inen, 2004). Entries divide the market amongst more sellers and decrease each...
4 Pages(1000 words)Research Paper
The Five Forces by Michael Porter
...Background The Five Forces by Michael Porter provides a realistic evaluation of prospective stages of profits, opportunity and risk of a company inan industry (Abell, 1999). The model of Porter is according to the framework of corporate strategy and the threats in the company's external environment. The model gives emphasis on the competitive strategy that an organization implements in accordance to their understanding of the structures in the industry and the changes they undergo (Bakos, 1998). Porter's has initiated the five forces that formed each industry and each market. This model distinguished the...
10 Pages(2500 words)Essay
Corporate Strategy - Analysis of Michael Porter
...not have any clear strategic. Stagnation occurs, which results in mediocre returns. Companies that come out with fundamental advantages prosper such as Toyota in the automobile sector. The Big Three in the US automotive industry namely, Ford Motor Company (Ford), General Motors Corporation (GM) and DaimlerChrysler (DC) played a prominent role in the evolution of the automotive industry till the 1990s. The industry adopted the lean production technique from Japan in the 1990s. The auto industry is the most globalized in the world and has undergone turbulent changes. The industry has been facing issues such as facing issues such as slow time to market, costly inventories, overcapacity,...
3 Pages(750 words)Essay
Top-down model
...Running Head: TOP –DOWN MODEL Top – Down Model Submitted by: XXXXXXX Number: XXXXXXX XXXXXXX of XXXXXXXXX Introduction: The top down model is an approach used by companies to make step-wise decisions while developing the strategies for the company. The top down approach involves a number of different layers and a number of steps to be followed. This paper aims at interpreting the process of the top – down method requirement determination and the bottom up method of meeting the requirements. The paper will take an example of Intertex Corporation, a company that deals with production of a number of different products like clothing, golf balls and many more. Application of the Model: The top – down approach involves five layers... of...
2 Pages(500 words)Essay
Corporate strategy and business objectives (Michael Porter)
...1-Refer to the Accenture document we used with the Alcan case. In which quadrant does MDCM fall? Why? The CEO of MDCM oversaw major company reorganization with the aim of realizing operational and cost improvements (Jeffery and Norton 1). All the issues raised by the CFO Sharon Leis, VP of marketing and sales Pat Perry and COO Michael Shed were directly related to operational inefficiency and uncontrolled costs. MDCM’s focus on these two attributes, which is an emphasis on operational efficiency while tightly controlling costs is atypical of Efficient, Predictable Operators. MDCM’s competitive advantage was not differentiation but quality that emanated from operational efficiency. An elimination process enables us to...
4 Pages(1000 words)Case Study
Michael Porter on Value Based Health Care Delivery
...MICHAEL PORTER ON "VALUE BASED HEALTH CARE DELIVERY” Lecturer: MICHAEL PORTER ON "VALUE BASED HEALTH CARE DELIVERY” If there is one area of the national structure that has long searched for transformation, it is the health sector. Indeed as constantly as possible, stakeholders within the health sector are looking for ways in which the delivery of healthcare can be improved and made to be at par with what the ordinary citizen desires (Department of Health, 2006). It is in the wake of such a search that Michael Porter speaks about how improved healthcare can be achieved through value based health care delivery. In the...
1 Pages(250 words)Essay
Diamond Model of Porter
...a business system that has the capability of achieving a competitive advantage over its rivals, hence leading to economic success. The automobile industry of Japan and the semiconductor industry of United States to the diamond model of Porter (Tallman, 2009). This is because they are able to create a unique business system. Furthermore, these two industries are able to achieve a competitive advantage within their economies, over other rival industries (Cho & Moon, 2000). Factor condition refers to the position of a country, in regard to the factors of production that enables companies...
10 Pages(2500 words)Essay
Diamond Model Analyze
...Diamond Model Analyze Introduction The diamond model as an economic model by Porter Michael in the book competitive advantage of nations explains why certain industries are more competitive in certain locations. It thus explains the competitiveness of a company in the international market. The model uses: firm strategy, structure and rivalry; demand conditions; factor conditions as well as related and supporting industries to explain the conditions that can be favorable for direct foreign investment. This essay therefore seeks to explain the environment factors that a company can consider when attracting direct foreign investment. Porter’s diamond Model is as shown below The environment factors that a company should take... in to...
12 Pages(3000 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Let us find you another Essay on topic The Diamond Model which has been penned down by Michael Porter for FREE!
Contact Us