1. What are the bases or considerations in formulating strategies? Explain each.

Fragmented Industries: In a fragmented industry, many companies compete with each other,
but no one company or small group of companies dominates the industry. Because the industry
is so competitive, no one company is in a position where it has too much power or influence.
Fragmented industries are perfect for companies wanting to enter a market and possibly take
over it. Because of how they are set up, fragmented industries often have fewer barriers to entry
than more consolidated ones. Examples are restaurants, taxi services, home care services, car
sales, and furniture businesses.

Emerging Industries: An emerging industry is in its formative phases of growth. The product,
service, or technology on which the developing sector is based may not be well-known, and as
a result, it may not have a functioning ecosystem or a large client base. Emerging industries
often consist of a few businesses and frequently concentrate on new technologies. Frequently,
new industries appear as one technology begins to eclipse and replace older technology.
Examples of emerging technologies include robotics, virtual reality, 5G networks, blockchain
technology, artificial intelligence, and self-driving vehicles.

Maturing Industries: A mature industry has been through both emerging and growing periods.
Each of these industry stages presents investors with fresh chances. Indeed, each phase
demands a distinct sort of investor with distinct risk and return expectations. For instance, early-
stage businesses have tremendous return potential. These businesses tend to be larger, more
established, and more stable. A mature industry has passed the introduction, growth, and
consolidation stages but has not yet entered the decreasing period. The industrial life cycle
consists of five phases: introduction, growth, shakeout, maturity, and decline; as time passes,
so do the stages of the life cycle.

Declining Industries: A declining industry is either not growing at all or not growing at the
same rate as the economy as a whole. There are many reasons why an industry might be going
down, such as a steady drop in consumer demand, the depletion of a natural resource, or the
rise of new alternatives made possible by new technologies. The railroad industry is an example
of a declining industry. It has seen a drop in demand, which is mostly due to newer and faster
ways to move goods (mainly air transport and trucking), and it hasn't been able to keep its
prices competitive, at least when compared to the benefits of faster and more efficient transport
offered by airlines and trucking services.

2. How do you assess Porter‘s idea on the relevance of environmental factors in evaluating on
the firm‘s level of strategic competitive positioning especially when it comes to cost leadership?
I think Porter emphasizes making more money while charging the same rates as competitors. It
is achieving a larger proportion of the market at a cheaper price while still turning a profit thanks
to cost reductions. The term "cost leadership" refers to a business strategy in which a company
offers the lowest prices for its product or service in the market.
3. Discuss a company that achieves superior competitive advantage because of its
technological paradigm shift.
Given the impact that IT has on market structure and competitive standards, it is exploited to
gain an advantage over rivals. It gives companies a competitive advantage by opening up new
avenues for expanding their output. It starts brand new businesses, sometimes by spinning off
parts of an existing company. The success of McDonald's cost leadership strategy makes it a
prime example of a company that uses its advantages to its fullest. They can produce things at
low costs thanks to economies of scale, which allows them to undercut competitors' prices.
Amazonia is a second illustration. The Amazon business model may be thought of as an
extreme case of cost leadership. Amazon's competitive advantage is based on three pillars:
selection, cost, and accessibility. Due to economies of scale, innovations in numerous business
processes, and continual diversification, the global online retailer can operate with a razor-thin
profit margin while being highly successful.

4. Enumerate at least 5 MNCs using each of the three international strategies other than those
described above. Which company do you think is best positioned to compete in international
markets?

Microsoft, Nestle, PepsiCo, Coca-Cola, and Sony are only five examples of companies with
global operations and are considered multinational corporations. Microsoft Corporation is a
global technology firm based in the United States. It is in the business of producing and selling
computer software and hardware and licensing, supporting, and providing technical assistance
for these products. Nestle is a worldwide food and beverage conglomerate firm that is
headquartered in Switzerland. According to sales and other important indicators, it is the most
successful food firm globally. Pepsi Co. is an American global food, snack, and beverage
conglomerate specializing in producing, marketing, and distributing grain-based meals, drinks,
and other goods. The company was founded in 1898 and is headquartered in Georgia. Coca-
Cola is a type of soft drink that contains carbonation. The beverage's name alludes to the fact
that it was traditionally made with kola nuts and coca leaves. They are one of the most profitable
multinational corporations in the world. Last but not least, the Sony Corporation is a worldwide
conglomerate firm that is headquartered in Japan. This corporation is involved in the music
entertainment industry and the publishing and video gaming console businesses. In addition to
that, it is a manufacturer of electronic goods for both the professional and consumer sectors.
Coca-Cola is already well-known in every region of the world, so it would not be difficult for the
firm to break into the international market. As a result, I believe that Coca-Cola is the company
that is best positioned to compete in international markets.