Nine-cell matrix to portray industry competitive strength

Question

Define a nine-cell matrix to simultaneously portray industry competitive attractiveness and strength.

Answer 1

Using a nine-cell matrix to simultaneously portray industry competitive attractiveness and strength:

The industry business and strength attractiveness scores can be used to depict the strategic situations of each business in a diversified company. Industry attractiveness is designed on the vertical axis and competitive strength is designed on the horizontal axis. A nine-cell network appears from dividing the vertical axis into three areas and the horizontal axis into three areas. A Nine-Cell Industry Attractiveness-Competitive Strength Matrix, shows this instrument. Each business unit is designed on the nine-cell matrix according to its whole attractiveness score and whole strength score and then shown as a “bubble”. The location of o the business units on the attractiveness-strength matrix give important guidance in deploying corporate resources to the different business units. In universal, a diversified company’s scenario for fine whole performance are improved by concentrating corporate resources and strategic attention on those business units having the maximum competitive strength and positioned in very attractive industries.