YOU ARE A STRATEGIC ANALYST AT A SUCCESSFUL HOTEL ENTERPRISE THAT HAS BEEN GENERATING SUBSTANTIAL…

YOU ARE A STRATEGIC ANALYST AT A SUCCESSFUL HOTEL ENTERPRISE THAT HAS BEEN GENERATING SUBSTANTIAL EXCESS CASH FLOW. YOUR CEO INSTRUCTED YOU TO ANALYZE THE COMPETITIVE STRUCTURE OF CLOSELY RELATED INDUSTRIES TO FIND ONE THAT THE COMPANY CAN ENTER, USING ITS CASH RESERVE TO BUILD UP A SUSTAINABLE POSITION. YOUR ANALYSIS, USING THE COMPETITIVE FORCES MODEL, SUGGESTS THAT THE HIGHEST PROFIT OPPORTUNITIES ARE TO BE FOUND IN THE GAMBLING INDUSTRY. YOU REALISED THAT IT MIGHT BE POSSIBLE TO ADD CASINOS TO SEVERAL OF YOUR EXISTING HOTELS, LOWERING ENTRY COSTS INTO THIS INDUSTRY. HOW EVER, YOU PERSONALLY HAVE STRONG MORAL OBJECTIONS TO GAMBLING. SHOULD YOUR OWN PERSONAL BELIEFS INFLUENCE YOUR RECOMMENDATIONS TO THE CEO?

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