This document outlines Porter's Five Forces model for analyzing industry competition. It identifies the five competitive forces as the threat of new entrants, threat of substitutes, bargaining power of suppliers, bargaining power of customers, and competitive rivalry within an industry. For each force, it lists some relevant factors to consider such as capital requirements, barriers to entry, switching costs, population and size of suppliers/customers, and number of competitors.
This document outlines Porter's Five Forces model for analyzing industry competition. It identifies the five competitive forces as the threat of new entrants, threat of substitutes, bargaining power of suppliers, bargaining power of customers, and competitive rivalry within an industry. For each force, it lists some relevant factors to consider such as capital requirements, barriers to entry, switching costs, population and size of suppliers/customers, and number of competitors.
This document outlines Porter's Five Forces model for analyzing industry competition. It identifies the five competitive forces as the threat of new entrants, threat of substitutes, bargaining power of suppliers, bargaining power of customers, and competitive rivalry within an industry. For each force, it lists some relevant factors to consider such as capital requirements, barriers to entry, switching costs, population and size of suppliers/customers, and number of competitors.
Threat of new entrants Bargaining power of suppliers
•LOW CAPITAL •POPULATION OF
REQUIREMENTS SUPPLIERS •LESS BARRIERS TO •OVERALL SUPPLY ENTRY •SIZE OF INDIVIDUAL PORTER’S FIVE FORCES SUPPLIER
Threat of substitutes Bargaining power of
customers •LOW SWITCHING COSTS •SUBSTITUTE •LOW AVAILABILITY SWITCHING COSTS Competitive rivalry •HIGH QUALITY OF • HIGH NUMBER OF FIRMS INFORMATION • LOW SWITCHING COSTS