Food Manifacturing - Five Forces Analysis

Food Manifacturing - Five Forces Analysis

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Intensity of Existing Rivalry

Exit barriers are low (Food Manifacturing) When exit barriers are low, weak firms are more likely to leave the market, which will increase the...

Bargaining Power of Suppliers

Diverse distribution channel (Food Manifacturing) The more diverse distribution channels become the less bargaining power a single distributor will...
Large number of substitute inputs (Food Manifacturing) When there are a large number of substitute inputs, suppliers have less bargaining leverage over...
High competition among suppliers (Food Manifacturing) High levels of competition among suppliers acts to reduce prices to producers. This is a positive...

Threat of Substitutes

Substantial product differentiation (Food Manifacturing) When products and services are very different, customers are less likely to find comparable product...
Limited number of substitutes (Food Manifacturing) A limited number of substitutes mean that customers cannot easily find other products or services...

Bargaining Power of Customers

Large number of customers (Food Manifacturing) When there are large numbers of customers, no one customer tends to have bargaining leverage....
Low dependency on distributors (Food Manifacturing) When produces have low dependence, distributors have less bargaining power. Low dependency...

Threat of New Competitors

Strong distribution network required (Food Manifacturing) Weak distribution networks mean goods are more expensive to move around and some goods don’t get to...
Strong brand names are important (Food Manifacturing) If strong brands are critical to compete, then new competitors will have to improve their brand...
High capital requirements (Food Manifacturing) High capital requirements mean a company must spend a lot of money in order to compete in the...
Advanced technologies are required (Food Manifacturing) Advanced technologies make it difficult for new competitors to enter the market because they have to...
Industry requires economies of scale (Food Manifacturing) Economies of scale help producers to lower their cost by producing the next unit of output at lower...
Geographic factors limit competition (Food Manifacturing) If existing competitors have the best geographical locations, new competitors will have a...
Customers are loyal to existing brands (Food Manifacturing) It takes time and money to build a brand. When companies need to spend resources building a brand,...

What is Porter's Five Forces Analysis?

WikiWealth's Five Forces analysis evaluates the five factors that determine industry competition. Add your input to food-manifacturing's five forces template. See WikiWealth's tutorial for help. Is WikiWealth missing any analysis? Check out our entire database of free five forces reports or use our five forces generator to create your own. Remember, vote up food-manifacturing's most important five forces statements.