Unique - Five Forces Analysis

Unique - Five Forces Analysis

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Intensity of Existing Rivalry

Large industry size (Unique) Large industries allow multiple firms and produces to prosper without having to steal market share...
Exit barriers are low (Unique) When exit barriers are low, weak firms are more likely to leave the market, which will increase the...

Bargaining Power of Suppliers

High competition among suppliers (Unique) High levels of competition among suppliers acts to reduce prices to producers. This is a positive...
Diverse distribution channel (Unique) The more diverse distribution channels become the less bargaining power a single distributor will...
Low cost of switching suppliers (Unique) The easier it is to switch suppliers, the less bargaining power they have. Low supplier switching...
Volume is critical to suppliers (Unique) When suppliers are reliant on high volumes, they have less bargaining power, because a producer can...

Threat of Substitutes

Substitute product is inferior (Unique) An inferior product means a customer is less likely to switch from Unique to another product or...
Substantial product differentiation (Unique) When products and services are very different, customers are less likely to find comparable product...

Bargaining Power of Customers

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

Threat of New Competitors

Industry requires economies of scale (Unique) Economies of scale help producers to lower their cost by producing the next unit of output at lower...

What is Porter's Five Forces Analysis?

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