5.

Rivairy Among
Existing Firms ly
1. Threat of The Vie tn am es e co ff ee m arket is high
New Entrants competitiv e, w ith nu
an
m
ds
er
.
ou
P
s
hu
local and
c Long faces
internationa l co ff ee br
ietnam is highly established
The coffee industry in V pe tit io n from bo th
intense com
itiv e, a n d th er e is a moderate an d em er ging coffee chains. To
compet pl ayer s
c Long focuses on
a t o f n ew en tra n ts . While it is rem ain co m petit iv e, P hu
thre oduct innovation,
coffee brands to er en tia tion, pr
relatively easy for new bran d diff
h ing a strong bi an ce , an d cu stom er experience.
e m a rk et , es ta b lis store am
enter th
distribution
Porter's five forces
nd p re se n ce a n d
bra
etw o rk lik e P h u c Long can be
n
er , th e p resence of
model of
challen g in g . H o w ev
esta b lis h ed p la ye rs a n d the need for 4. Threat of
st m en t in resources may te Prod ucts
competition u
sig n ific a n t in ve ubst it
S
act as barriers to entry.
re a t o f su b st itu te p ro ducts is
The th
rate fo r P h u c L o n g . C ustomers
mode
va rio u s a lt e rn a tive s, such as
have
ts of te a sh ops, and
2. Determinants of erminan other co ff e e b ra n d s,
3. Det b e ve ra g e s. Phuc
te d
Supplier Power Buyer Power non-ca ffe in a
ty to o ff e r a d iv e rs e range
Long's a b ili
an d tea leaves as l cluding
Phuc Long relie s on co ffe e be an s
st ry , cu stomers have severa -q u a lity b e ve ra g e s, in
ng po w er of suppliers can In the coffe e indu
increases their of high
key inputs. Th e ba rg ai ni
options to ch oo se from , w hi ch
re co ff e e b le n ds, milk
a w ell-e stab lis he d brand, Phuc Long likely Lo ng ne eds to differentiate their sig n a tu
vary. A s
with its suppliers, whi
ch bargaining po w er . Ph uc
e cia lty d ri nks , ca n help
has st ro ng re latio ns hi ps
h pr od uct qu al ity and unique offerings tea, an d sp
in terms of pricing itself thro ug
itionally, price bstitutes.
mitigate the threat of su
em so m e le ve ra ge ya lty. Add
may give th to maintain cu st om er lo
ality. H ow ev er , flu ctuations in the global ai la bi lity of alternative coffee
and qu lity of high-quality sensitivity an d th e av
e av ai labi
coffee market an d th yers' decisions.
ct th eir bargaining power. brands can influence bu
supp liers ca n im pa