Highlights
Task
Three Essay Questions
Question 1:
Assume the firm has the competencies to be a successful differentiator, and the resources to compete over the long term.
Discuss the nature of the business environment in the growth stage and explain how the pioneering prospecting firm could achieve market leadership by the end of growth.
Question 2:
Cash cows are very profitable products/brands because they have achieved high market share in a mature stage of an industry’s or product lifecycle. Explain the reasons for your strategies when allocating the profit generated by a cash cow. Consider Exhibits 10.8 and 10.9.
Question 3:
In light of these events, Adidas Australia management has decided to divest team sports’ footwear because these product categories are facing decline. Critique their decision based on your understanding of Adidas and the decline stages of the product lifecycle. Refer Exhibit 10.10 and 10.11.
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