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1. (Professional Business Analyst Training organisation)
Porter's Five Forces

2. Porters Five Forces
While doing Enterprise Analysis, BA might do
different types of analysis, Porter’s Five Force
Model is one of the them.
Porters Five Force was developed by Michael E.
Porter to help companies assess industries
competitiveness and build strategies.
 Its simple but very powerful tool to analyze and
understand the business situation and industry
dynamics.

3. The Five Forces are
Competitive Rivalry—Gauging the competition
between the existing companies in the specified
industry.
•If there is stiff competition with quality products
then rivalry companies may take the profit share
and can reduce revenues.

4. Threat of new entrants—
One of most common threat to companies is
new entrants, threat may not only be from
existing players but also from new entrants
because as the industry grows at faster pace
tends to attracts new entrants in business which
reduces the margin of existing business.
 To prevent this happening companies should
have some patents or high switching cost etc.

5. Traditional BA (Waterfall) Agile BA
Requirements are documented in Use
Cases,Business Requirements, Functional
requirements, UI Specifications, Business Rules.
Requirements are documented in Epics, User
Stories and optionally Business (or Essential) Use
cases.
Focuses on completeness of requirement and
spends time in ensuring the requirement is
unambiguous and has all the details.
Focuses on understanding the problem and being
the domain expert so that s/he can answer
questions from the development team swiftly and
decisively.
Focuses on getting a ‘sign off’ on the requirements.
Focuses on ensuring the requirements meet the
currentbusiness needs, even if it requires
updating them.
Often there is a wall between the BA/Business and
the Development team.
Agile BA (Often called as Product Owner) is part of
the team.
Tends to dictate solutions.
Has to remain in the problem domain, leaving the
development team ‘space’ to explore different
solutions.
Long turnaround. Quick turnaround.
Focus on what the requirements document said. In
other words, output (Artifact) is a well written
thorough requirements document.
Focus on the functionality of the developed
software. In other words, output (Artifact) is the
software that meets thebusiness needs.
Threat of substitutes—Is substitute product
from different industry which may be used for
the purpose the larger the substitutes available
the lower the profit.
Bargaining power of buyers—In some
industries buyers may have tremendous bargain
power, if they are small in number. However we
need to check how powerful the buyers are and
can they get cost down.

6. Bargaining power of suppliers—
We can identify suppliers have strong
bargaining power, if they are able to increase
cost without affecting their sales.
Supplier may enjoy greater power if they are
small in number difficult for buyers to switch.