Case Scenario 3: Barracuda Inc

question 63

Essay

Case Scenario 3: Barracuda Inc.
Barracuda Inc. is a lamp-fixture manufacturer that is considering an entry strategy into the U.S. home-furnishings manufacturing industry. The existing landscape consists of many players but none with a controlling share. There are currently 2,500 home furnishings firms, and only 600 of those have more than 15 employees. Average net profit after tax is between 4 and 5 percent. While the industry still primarily comprises single-business, family-run firms that manufacture furniture domestically, imports are increasing at a fairly rapid rate. Some of the European imports are leaders in contemporary design. Relatively large established firms are also diversifying into the home- furnishings industry via acquisition. Supplier firms to the home-furnishings industry are in relatively concentrated industries (such as lumber, steel, and textiles). Retailers, the intermediate customer of the home-furnishings
industry, have been traditionally very fragmented. Customers have many products to choose from, at many different price points, and few home-furnishing products have strong brands. Also, customers can switch easily among high- and low-priced furniture and other discretionary expenditures (spanning big-screen TVs to the choice of postponing any furniture purchase entirely).
-(Refer to Case Scenario 3). How intense is competitive rivalry likely to be among incumbents of the home- furnishings manufacturing industry?

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Definitions:

Intersection

The concept in sociology and critical theory that examines how overlapping social identities (such as race, gender, class) relate to systems of discrimination and privilege.

Androcentrism

The practice, conscious or not, of placing male human beings or the masculine point of view at the center of one's view of the world and its culture and history.

Feminism

A movement and theoretical perspective advocating for gender equality, focusing on identifying, understanding, and addressing systemic inequalities faced by women.

Hegemony

The domination of one group over others, often represented through cultural, economic, or political means.