Week 6: Reading Reflection

Reading Reflection

1) What was the biggest surprise for you in the reading? In other words, what did you read that stood out the most as different from your expectations? 

I was quite surprised about the power that the buyers have. Buyers can and do affect the stock prices, which can then break or make a company. In addition the difference in industry profitability. It's interesting to read the statistic about the soft drink industry profiting more than the airline industry. Plane tickets are obviously a lot more than soda's yet soda's are sold everywhere, that really stood out to me.

2) Identify at least one part of the reading that was confusing to you.

I was quite confused when I was reading about the possible 6th force when discussing the 5 forces. The sixth course would be the economy and I just feel like a declining economy would cause a shift in the competition of an industry.

3) If you were able to ask two questions to the author, what would you ask? Why?

In what ways would the economy as a sixth force affect competition?

What did Porter mean by 'Zero sum' and 'positive sum'?

4) Was there anything you think the author was wrong about? Where do you disagree with what she or he said? How?

I did not necessarily disagree with anything the author stated in this chapter. Some concepts were unclear but that does not mean I do not agree with the points made. I especially enjoyed the portion discussing the difference in industry profitability.