The Diamond Model which has been penned down by Michael Porter Essay

The Diamond Model which has been penned down by Michael Porter - Essay ExampleThis service is gained by the state by increasing demand for that commodity by other nations. Either the nation with the agonistic advantage has gained this edge because of the cheap poke available in their region, or it is due to the amazingly high quality of resources that are available within their region. The reason can be any - plainly once the competitive advantage has been gained, it goes a long way in inspection and repairing the nation to rule the international market for that commodity and it even gives the nation the power to dictate prices at times, especially if on that point is scarcity of that commodity or the raw materials needed to make that commodity in other move of the world, or if the commodity is a staple good or a fast moving consumer good.Thus, competition, in todays age, is not limited to domestic competitors. Rather, the competitors are straightaway present worldwide for a single industry. Thus, Porters model becomes the most comprehensive model available for this purpose only - to help nations make policies which will help them out beat their international competitors.1. Firm strategy, structure and rivalry Strategy is the way through which the nation aims to achieve its goals. If the nation aims to achieve strategic competitive advantage in four industries wool, cotton, wheat and rice, then it need to work accordingly. Moreover, it also has to structure the domestic industry in a manner which instills combat within the domestic players only, so that the overall industry can reach a higher level. Rivalry is the competition that is ignited within the local competitors, so that they work independently and also in groups to achieve the nations policy of achieving global competitiveness in the international arena. 2. Demand conditions A nations policy on competitiveness around the globe will depend on the demand that exists for its products. The natio ns industry can never stand out in a global field if the local demand does not match the international demand. If, for instance, the cotton produced in the local areas is of low quality and the local consumers are satisfied with that, then there is no scope for this industry to flourish internationally. This is because if the local demand is not demanding enough out of the industries, then they would never improve their level of quality, service or the elements that make a product from good to better to best. Thus, the more demanding the customers in an economy, the greater the pressure facing firms to constantly improve their competitiveness via different antecedent innovative product offerings etc. 3. Related and reenforcement industries If an industry has to gain competitive advantage internationally, then it should also engage the support of the related and supporting industries. For instance, while making national policy, the related and supporting industries for the governm ent would be the media industry, because of the amount of