Management Information System (MIS) Research Paper
What is manufacturing? The production of tangible things planned to be sold or leased for
final use or consumption or the production of tangible things pursuant to a contract with
the Federal Government. This can be done by mechanical, physical or chemical means.
Plants, factories and mills that use power-driven machinery and equipment are typical in
the manufacturing industry. However, it also includes home-based businesses that make
hand-crafted goods, as well as bakeries, candy stores and custom tailors that produce and
sell their goods onsite. The manufacturing industry is a great tool that drives the nations
economy; it can eliminate the unemployment rate of the country and increase the GDP at
the same time. In the past decade it has been an instrument for economic growth for some
countries. They own a large share in the market. They are the ones who utilize the use of
technology that is available. Scientific and technological breakthroughs are stirred by
linking creative minds. This things will boost up foreign investment in the country.
In few years time, the Employment in manufacturing is likely to grow at about the same
rate as in the rest of the economy during the next few years. In terms of GDP, the industry
is anticipate to slightly outpace mainly economic growth. Industries within manufacturing
that are forecast to show stronger-than-average growth include food, beverage and
computers, electronic products and other forms of manufacturing.
I. Threat of new Entry
New entry barriers are very low since manufacturing industry is very big. It is expensive to
enter the industry since the technology being used is advance. Many threats to long run
survival come from companies that do not yet exist or have a presence in a given industry
or market. The threat of new entrants forces top management to monitor the trends,
especially in technology, that might give rise to new competitors.
II. Competitive Rivalry
The large number of firms makes the Competitive Rivalry Intensive. The low switching
cost of customers increase the rivalry since they easily switch from one brand to another.
In mature industries, existing competitors are not much of the threat: typically each firm
has found its “niche”. However, changes in management, ownership, or “the rules of the
game” can give rise to serious threats to long term survival from existing firms.
III. Supplier Power
The supplier power is weak since there are many players in this industry. There is a small
