Industry Competitive Forces

Question 1

Porter Model Vive Compettive Forces

Answer 1

Threat Of New Entrants
Bargining Power of Customers
Threat of Substitue Products
Bargining Power of Suppliers
Intensity of Competitive Rivarlry
Influence of Non-Competitors

Question 2

Threat of New Entrants

Answer 2

Company does to need to be laege to comple

2. Customers are not infouece by brand loyalty
3. There are no legal barriers to competing in the industry
4. Existing competitors do not control acces to vital resources
5. Switiching to a new provider is not difficult or expensive
6. There are not regulatory barriers to entering the industry

Question 3

Bargining Power of Customers

Answer 3

1. There are few buyer, but here are high volume buyers
2. Products are ealisy replaced iwth a substitute
3. Supplier have high fixed costs
   4 Customers could produce the product themselves
4. Product is not of strategic importance

Question 4

Threat of Substitue Products

Answer 4

1. Customers can easily locate alternative products that meet thier needs
2. Customers have no brand loyalty
3. Switching to another product salve money without sacrificing quality or performance
4. Cahnging to another product is easy and inexpensive
5. Makers of substitue products can easily attract new buyers with price reductions.