Porter s 5 Forces model porter

Power of buyers

• _{Buyer concentration- low}

• _{Buyer switching costs relative to firm switching}

costs - low

• _{Buyer information availability- high}

• _{Availability of existing substitute products - high} • _{Buyer price sensitivity - high}

• _{Differential advantage (uniqueness) of industry}

Power of suppliers

• _{Supplier switching costs relative}

to firm switching costs - moderate

• _{Presence of substitute - high}

• _{Supplier concentration to firm concentration}

ratio - moderate

• _{Employee solidarity - moderate}

• _{Supplier competition - ability to forward}

Threat of substitutes

• _{Buyer propensity to substitute - high}

• _{Relative price performance of substitute -}

moderate

• _{Buyer switching costs - low}

• _{Perceived level of product differentiation - high} • _{Number of substitute products available in the}

market- high

Threat of new entrants

• _{Switching costs or sunk costs - moderate} • _{Capital requirements - high}

• _{Access to distribution - high}

• _{Customer loyalty to established brands - high} • _{Absolute cost - high}

Rivalry Among Competitors

• _{Sustainable competitive advantage through} innovation - moderate