Source: Adapted from M. E. Porter, Competitive Strategy, Free Press, 1980, p. 4. Threat of substitutes Potential entrants Threat of entrants Suppliers Bargaining power Substitutes Buyers Bargaining power COMPETITIVE RIVALRY Five forces analysis
Five Forces Analysis: Key Questions and Implications
What are the key forces at work in the competitive environment?
Are there underlying forces driving competitive forces?
Will competitive forces change?
What are the strengths and weaknesses of competitors in relation to the competitive forces?
Can competitive strategy influence competitive forces (eg by building barriers to entry or reducing competitive rivalry)?