Pay Tv Porter's 5 Forces

Comcast is planning expanding globally. With the main competition with the Dish Television Network. Comcast’s have devised

Porter’s Five Forces is defined as threats of new entrants, bargaining power of suppliers, power of buyers, the threat of substitutes and rivalry among existing competitors. New entrants into the industry aim to gain market share from rivals, so the intensity of competition may require to make changes on current strategy of marketing to maintain existing market share. The bargaining

So far, Dish TVs, decoders and cable systems have been the primary source of home entertainment based on a range of satellite systems. Direct TV is one company that has changed the way home entertainment was defined. Direct TV offers a series of home

Comcast practices the ‘Best-cost provider strategy’ in a business model that promotes convince for their customers by offering integrated services all on one bill. “Best-cost provider strategies are a hybrid of low-cost provider and differentiation strategies that aim at satisfying buyer expectations on key quality/features/performance/service attributes and beating customer expectations on price” (Gamble et. All) The elements in the best-cost provider strategy include: bundles with internet, cable and telephone services at varying internet speed, cable channels and levels of telephone service; different cable packages with different channels and promotional deals and

The New Yorker published an article describing how competition affected the Internet market in Britain (Cassidy). They state that U.K. regulators forced incumbent cable and telephone operators to lease their networks to competitors at a cost which enabled new providers to enter the market and bring prices down. Effectively the government regulators forced competition to enter the market resulting in lower prices. For example; Virgin Media, a popular fiber optics provider, can provide speeds of 152 Megabytes for around 32 U.S. dollars and services half of the U.K. ; this could be an effective strategy to implement in the states (Join Virgin Media). The networks simply have to be made readily enterable by viable

After compiling Porter’s Five Forces; buyer power, the threat of substitution and competitive rivalry are all high making these the most critical factors in Comcast’s competitive environment. Customers want the best offer available while paying the least amount possible. The smaller the customer base gives them higher bargaining power to seek increasing offers and discounts. The threat to substitute is high since there are several services such as online streaming, cable and satellite providers that meet similar customer needs. High rivalry among existing competitors will drive down prices for more services and play competitors against each other. Overall, these three forces will affect the long-term profitability of the organization. Nature of the threats

Rogers Cable is the leader in Canada’s cable television market, with a over 2.3 million cable television subscribers and 500000 internet subscribers. In 1993 the Canadian government relaxed the norms of telecommunications industry followed by an application in 1999, allowing local carriers to change the content of the information passing through their networks. This led to increased competition in the market and the customers enjoyed a lot of choice. As such Rogers Cable focused completely on increasing its subscriber base and

Acquaintances and I commonly discuss the frustration we have with Comcast and their ability to charge ridiculous prices for their services and demonstrate a complete lack of customer service because they dominate the cable industry. This anti-trust issue has been recognized by politicians and various organizations, but nothing has been done to weaken Comcast enough. With significant entry barriers it is understandable why Comcast does not have many competitors, but with an online streaming technology being developed and made available through companies like Netflix, Comcast could have significant competition in the near future. Although there is hope that Netflix and the niche of online streaming will become a problem for Comcast there are several things that must occur first. Netflix has

But, unfortunately due to the enormous cost and very little public interest and demand Time-Warner decided to pull the plug on its nationwide change over to digital lines. This shows that the cable companies are surpassing the consumer demand for technology, making this industry a very hard one to market.

The five forces that drive industry competition, a model established by Michael Porter, are; threat of substitution, threat of new entrants, bargaining power of suppliers, bargaining power of buyers, and intensity of rivalry. The video game industry must deal with all five of these forces. The analysis of the strength of these five forces within the video game industry will help to draw a conclusion as to whether or not it is an attractive industry for Sony to be in.

According to the theory of the 'invisible hand' of the marketplace, as advocated by Adam Smith, the marketplace naturally determines the optimal price of a good or service. But even Adam Smith viewed the development of monopolies with some trepidation and believed that government intervention was required to cease their proliferation. During the 1980s to the 1990s, it seemed fairly clear to most industry analysts that cable television functioned as a monopoly in a manner that was deleterious to consumers. Cable television had few competitors, except in the form of analog 'rabbit ears' which did not provide the full range of channels or quality that cable provided. In many areas, only a single cable company dominated the market and subscribers had few alternative options.

The next set of forces is the threat of new entrants and possible substitutes that the TV service providers industry faces. Possible new entrants into the industry are Verizon, AT&T, Sprint, Apple, and Amazon. All of these entries could pose a strong threat to the industry. They have similar technologies and have the

Unfortunately, the competition has caught up and networks such as CNN and Lifetime have begun to offer competitive programs and thus competitive advertising outlets for the target audience. As a result, advertising sales is projecting a 10% decrease in the price for a unit of advertising (CPM) if the current strategy does not change. An internal weakness of TFC is that it does not know its customers intimately; as stated in the case “the channel didn’t have much in the way of detailed information about its viewers” (Stahl, 2007). Without this information TFC is unable to compete effectively against other networks who do know the target audience and their attributes and trends. If TFC is unable to maintain or increase its overall satisfaction ratings, they might face the possibility of being dropped by a network and lose a second source of revenue, affiliate fees.

Summarise the future of the sectors of free-to-air television, retail and exhibition due to the rise of

When it comes to watching television shows and movies, streaming websites, such as: Netflix, Hulu, and Amazon, have virtually monopolized the market, and have exceedingly brought down cable and theater sales. The mere thought of cable is