Porters Five Forces

The five forces model of competitive analysis is a framework for analyzing the competitive environment in which a company operates.

It is based on the idea that there are five forces that act on a company to determine its profitability and competitiveness: (1) rivalry among companies; (2) threat of new entrants; (3) bargaining power of suppliers; (4) threat of competitors’ products; and (5) barriers to entry.

The model was developed by Michael E.

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