L,kkkk - Five Forces Analysis

L,kkkk - Five Forces Analysis

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Intensity of Existing Rivalry

Large industry size (L,kkkk) Large industries allow multiple firms and produces to prosper without having to steal market share...

Bargaining Power of Suppliers

Diverse distribution channel (L,kkkk) The more diverse distribution channels become the less bargaining power a single distributor will...

Threat of Substitutes

Bargaining Power of Customers

Low buyer price sensitivity (L,kkkk) When buyers are less sensitive to prices, prices can increase and buyers will still buy the product....
Product is important to customer (L,kkkk) When customers cherish particular products they end up paying more for that one product. This...
Large number of customers (L,kkkk) When there are large numbers of customers, no one customer tends to have bargaining leverage....

Threat of New Competitors

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

What is Porter's Five Forces Analysis?

WikiWealth's Five Forces analysis evaluates the five factors that determine industry competition. Add your input to l-kkkk'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 l-kkkk's most important five forces statements.