Industry analysis-Indian economy: Porter's framework and analysis in Indian context

Abstract

This project is an extension of Porter’s 1979 HBR article “How Competitive Forces Shape Strategy” in Indian industry context. This article continues to be the cornerstone of strategy formulation for a given industry. Porter in his seminal work provided the five forces through which the interaction occurs within an industry with the result of making that attractive and viable. In the same article, Porter has provided industry wise profitability index for industries in U.S. The parameter selected for this index is Return on Invested Capital. While studying the course “Competition & Strategy” at IIMB, the most probable question after studying this article was how would these index look in the Indian context and this is the inspiration behind choosing this topic as our CCS project. In this project, Porter’s article was the starting point for analysing the Indian industries. Based on the data found and interpreted, we have chosen industries that have shown interesting insights and trends which are either counter intuitive or contrasting to the general belief. Also inferences have been drawn based on the results obtained looking into underpinnings of these industries.