Five Forces Model of Competition Essay

915 Words4 Pages
Case #3 Analysis
Competition in the Golf Equipment Industry in 2009

Raquel Brickerson
MGT 495
CRN 22164538

Table of Contents

The Five Forces Model of Competition………………………………..pg.1

Driving Forces…………………………………………………………..pg.2

Marketplace changes……………………………………………………pg.3

Strategic Map…………………………………………………………....pg.3

Attractive or Unattractive……………………………………………….pg.3-4

Strategic Map Model……………………………………………………pg.5

1 * The Five Forces Model of Competition

The five forces analysis of competition consists of these five areas.
1). firms in other industries offering substitute products,
2). buyers, (3) potential new
…show more content…
In 1997 to 2008, the cost of goods sold changed due to a decline in the rounds of golf being played, which caused equipment sales to decline as well. This would also directly effect of the supplies of raw material. 5). Competitive pressures that stem from the different golf equipment retailers. There are competition with on-course pro shops, off-course pro shops, and online golf retailers. * Driving Forces
The driving forces in the golfing industry that is the major underlying causes of change, is 1). Marketing innovation. The golfing industry needs to find a way to spark the consumers’ interest back into the golfing game. The number of rounds played per year declined from 2007 to 2008 by nearly 9 million rounds. Since about 30 percent of golfers say that they stopped playing because the fees to play a round of golf are too costly, there should be a decrease in golfing fees. 2). Changes in who buys the product and how they use it. The golfing industry should target a younger age group of golfers. The decline in golfers took place among golfers who were married with children, and older golfers who were retired but had health concerns and injuries. The golfing industry needs to make equipment, apparel and golf in itself more appealing so that the decline experienced will start to bring a different crowd in as consumers. 3) Changes in cost and efficiency. Because sales are declining, the golfing industry may need to lower the costs
Get Access