Pick two of the industries listed in Exhibit 1, one on the high end of profitability and one on the low end. What are the boundaries of these industries? What are their market and geographic segments? Who are the key players? Draw up a five-forces model of each industry and compare and contrast their industry structure. Now shift your analysis to the dynamic five-forces model. What dimensions of the five-forces model are most likely to change in the near future? Which are most likely to stay relatively stable? Answer these questions for both 5- and 10-year windows.

Exhibit 1

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Beverages Cigarettes Pharmaceuticals -5+ Wireless providers Airlines e Eating establishments Trucking Bottlers > Steel Railroads > e e Prepackaged software Computers > Agricultural products > Weighted Average Return on Invested Capital (%) 0-