Industry Chain Analysis
Understanding the industry chain allows you to identify market players or competitors in the upstream, midstream or downstream within the industry. This enables you to find out more suppliers or strategic alliance partners so as to enhance your supply chain and partnership management. As supply chain is one of the key elements to determine the success of a business, this will enhance the performance of your business and reduce the risk of disruption to your business.
Finding out market players in downstream allows you to find out more potential customers. For governments, this information illustrates the developing trend of the emerging market, allowing them to identify opportunities, formulate policies and allocate resource better.
Dynamic Information Analysis
Capital Market Information
Other Market Information
Regulations
Business Model
Capital Market Information
Capital market information including startups information, investments, joint ventures, merger and acquisitions can be used by different stakeholders for different purposes. For corporations, this information allows them to identify potential investors or business partners who may be interested in their business models or products. In addition, this information also allows corporations to assess their asset value properly from worldwide perspective. Last but not least, understanding this information can help corporations to determine the direction of their businesses and allocate resources strategically.
Other Market Information
Other market information includes licensing, technology transfer, assignment and co-development among global organizations. This information reveals those market participants who are interested in a particular technology or industry. In addition, litigation information especially in United States or Europe can be used to locate area with high litigation risk and threatening patents. If litigation risk is high, freedom to operate should be performed before product is launched to reduce litigation risk.
Regulations
Some industries are highly regulated and companies in these industries are bound by the rules set forth by the regulating authority. For example, companies in medical device industry must follow the rules set forth by the Food and Drug Administration (FDA) in order for them to market their products. These rules do not only impose limitations for the companies but it can also be used as a guideline for product development. For example, a medical device company can identify which categories its products fall into and be very clear of its product planning. After clearly defining the product, the medical device company can perform proper IP planning by matching the subject matter of patent with the products defined and listed by FDA. FDA provides to the public a comprehensive list of products under regulation, along with the product and applicant information for each of the product categories. Medical device companies can utilize this information to identify competitors and potential partners comprehensively.
Business Model
Understanding the business model of a company can help you identify the strengths and weaknesses of a company. Market players compete in the market with similar products or services, but they usually operate with different business models. By studying the business model of a target company, you can identify the working relationships between the target company and other business entities. Moreover, you can learn about the products or services that it sells to its customers. Last but not least, you can find out the channels that are used by the target company to reach its customers. In summary, through studying the business models of the market players, you can identify the key elements to success within an industry, and design your own unique business model to get competitive edge over other market players.
