Porter’s Five Forces Model: To assess the potential for profitability in an industry, the competitive forces within the environment is analyzed by the Porter’s Five Forces. Buyer Power – The ability of the buyers to affect the price that they need to pay for an item. Supplier Power – The ability to influence the prices that are charged for the suppliers. Threat of substitute products or services – It will be high when there are many alternatives to a product or service and it will remain low when there are very few alternatives from which to choose. Threat of new entrants – It will be high when it becomes easy for new competitors to enter a market and it will remain low when there are some entry barriers to enter a market. Rivalry among existing competitors – It will be high when the competition is fierce in the market and it will remain low when competition becomes more complacent.

Question

Want to see the full answer?

Answer 1

Question

Chapter 2, Problem 5MBD

Program Plan Intro

Porter’s Five Forces Model:

To assess the potential for profitability in an industry, the competitive forces within the environment is analyzed by the Porter’s Five Forces.

Buyer Power – The ability of the buyers to affect the price that they need to pay for an item.

Supplier Power – The ability to influence the prices that are charged for the suppliers.

Threat of substitute products or services – It will be high when there are many alternatives to a product or service and it will remain low when there are very few alternatives from which to choose.

Threat of new entrants – It will be high when it becomes easy for new competitors to enter a market and it will remain low when there are some entry barriers to enter a market.

Rivalry among existing competitors – It will be high when the competition is fierce in the market and it will remain low when competition becomes more complacent.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Q4. The founder of TikTok and ByteDance Zhang Yiming is considered a successful entrepreneur. Discuss in detail the following three characteristics of a successful entrepreneur: having an entrepreneurial mind-set; being alert to opportunities; and the ability to deal with uncertainty. Also indicate how entrepreneur Zhang Yiming demonstrates each characteristic? Answer this question in 750 words

The impact of technology on workplace in twenty first century exploring the smart and darkside. What is theme of the article? What is the smart and darkside of technology? The authors discuss the national-level cultural values influence the workplace, how,explain?

These questions are not essay based neither they belong to bussiness operations.PLEASE ANSWER THEM. NOT AN ESSAY BASED.You will sometime hear the expression “Emerging technology is constantly leveling the playing field.” In other words, technology eliminates competitive advantages of existing companies and enables opportunities for new companies. How does this statement pertain to Holo-Lens, iPad, Window 10, Apple and Google?