Question

What if the NFL decided to pursue a vertical integration strategy with the NCAA for player development? Instead of the draft, colleges would be linked with NFL teams in a similar way minor league baseball teams work with MLB teams. How would this corporate-level strategy impact the NFL regarding multipoint competition, financial economics, market power, and economies of scope?

Imagine that you started a successful chain of hardware stores in the state. A competitor of similar size has offered to merge with your chain. You’ve been offered the title of CEO but would be working under your competitor who will be the chairwoman of the board. What are the details that you feel are needed to be addressed before you agree to this deal?

Sears has had difficulties competing in the retailing industry for many years. How would you recommend a restructuring plan? Be specific.

Answer 1

Answer:

If the NFL decided to pursue a vertical integration strategy with the NCAA for player development, then it will be benefited for both NFL and NCAA. Both will get the benefit from the vertical integration strategy as NFL will get larger player to develop and NCAA will get developed player for their further contribution to the goals of NCAA.

Instead of the draft, colleges would be linked with NFL teams in a similar way minor league baseball teams work with MLB teams. This corporate-level strategy impact the NFL regarding

• Multi-point Competition: This helps for the multi-point competition for the NFL as NFL will have larger pool of players for development and will be better placed in the competition and will have additional edge in the competition. NFL will be have better capability and results as compared to the existing competition. Hence multi-point competition will be improved for NFL.
• Financial economics: NFL will be have better financial and economic platforms as they will be developing larger players and will be earning larger revenues from the payer development program. This will create better player development branding platform and NFL will explore larger returns from the same. The economics of the NFL will be improved.
• Market power: the market power for the NFL will be improved as they will be covering lager market share and more customers are being developed by the NFL. This will create better competition position for the NFL and will have better market power. The market branding will be improved for the NFL organization after the vertical integration program.

• Economies of scope: The scope for economy will also improved because the NFL will have larger operations and these larger operations will help in improving the returns for the NFL and NFL will assume the increased scope for the economies. This shows positive environment for the NF looking forward in the economic scope.

I have started a successful chain of hardware stores in the state. A competitor of similar size has offered to merge with our chain. I have been offered the title of CEO but would be working under the competitor who will be the chairwoman of the board. The details that we feel are needed to be addressed before we agree to this deal are related to the contract terms and conditions for the deal. We want to mention all the key terms and conditions as per our retail business and we do not want to get impacted due to competitor. As a CEO and Chairman we want to mention the roles and limitation of each and the conditions on which this deal can run for longer duration. We want to mention the terms and conditions suitable to us and we see the benefit to our business rather than benefit to the competitor.

Sears has had difficulties competing in the retailing industry for many years. We would recommend a restructuring plan like explore adequate marketing in the region. The retail locational structure to be planned in such a way that it captures most of the populated regions. The product offerings need to be meeting the customer expectations. The pricing needs to be competitive in the market. Sale promotions and discount schemes to be explored for making the retail success. They need to have adequate training and development for the sales force in retail.