Hollywood and Porter Diamond Model Essay Example

There are six major production houses in the world and all are present in Hollywood.

Their presence not only depicts the strength of Hollywood but also amount of competition in the industry which push players to come up with new and creative products. Finally the support of government also played an important role in growth of Hollywood as the industry is always perceived as an exporter of American way of life to the rest of the world. (Kotler, 2006) 2- Select an entrepreneurial firm you are familiar with in your local Research the company and discuss how it has positioned itself relative to its close competitors.

Does it have a unique strategic advantage? Disadvantage Explain The entrepreneurial firm in my neighborhood is known as ‘Cool Couture’ and it sells high fashion men clothing. Unlike most specialty retailers like Gap it manufactures its clothes in United States and the unique selling proposition of the company is that it collection is reflection of latest fashion. All the Stock Keeping Units are for maximum four weeks in the store. To keep such high turnover rate the company manufactures in very low quantity and only established and latest fashion trends.

The clothes which are not sold in four weeks are taken off the shelf and there are no season ending sales in the store. The store is positioned as one selling only the latest fashion and is very popular among high fashion conscious customers. The stores customers are very loyal breed as they don’t get the same clothes anywhere else, secondly they pay high price for the exclusivity of the products. The disadvantage of such strategy

is that it can upscale such operation on big scale and enjoy the economies of scale. (Kjeldsen-Kragh, 2002)