Automotive Parts Suppliers - Five Forces Analysis

Automotive Parts Suppliers - Five Forces Analysis

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Intensity of Existing Rivalry

Large industry size (Automotive Parts Suppliers) Large industries allow multiple firms and produces to prosper without having to steal market share...
Capacity added in large increments (Automotive Parts Suppliers) Please edit this page to add a description…

Bargaining Power of Suppliers

Large number of substitute inputs (Automotive Parts Suppliers) When there are a large number of substitute inputs, suppliers have less bargaining leverage over...
High competition among suppliers (Automotive Parts Suppliers) High levels of competition among suppliers acts to reduce prices to producers. This is a positive...
Low cost of switching suppliers (Automotive Parts Suppliers) The easier it is to switch suppliers, the less bargaining power they have. Low supplier switching...
Low concentration of suppliers (Automotive Parts Suppliers) A low concentration of suppliers means there are many suppliers with limited bargaining power. Low...
Volume is critical to suppliers (Automotive Parts Suppliers) When suppliers are reliant on high volumes, they have less bargaining power, because a producer can...

Threat of Substitutes

Limited number of substitutes (Automotive Parts Suppliers) A limited number of substitutes mean that customers cannot easily find other products or services...
High cost of switching to substitutes (Automotive Parts Suppliers) Limited number of substitutes means that customers cannot easily switch to other products or...

Bargaining Power of Customers

Buyers require special customization (Automotive Parts Suppliers) When customers require special customizations, they are less likely to switch to producers who have...
Low dependency on distributors (Automotive Parts Suppliers) When produces have low dependence, distributors have less bargaining power. Low dependency...
Large number of customers (Automotive Parts Suppliers) When there are large numbers of customers, no one customer tends to have bargaining leverage....
Product is important to customer (Automotive Parts Suppliers) When customers cherish particular products they end up paying more for that one product. This...

Threat of New Competitors

Strong distribution network required (Automotive Parts Suppliers) Weak distribution networks mean goods are more expensive to move around and some goods don’t get to...
High capital requirements (Automotive Parts Suppliers) High capital requirements mean a company must spend a lot of money in order to compete in the...
Advanced technologies are required (Automotive Parts Suppliers) Advanced technologies make it difficult for new competitors to enter the market because they have to...
Industry requires economies of scale (Automotive Parts Suppliers) Economies of scale help producers to lower their cost by producing the next unit of output at lower...
High switching costs for customers (Automotive Parts Suppliers) High switching costs make it difficult for customers to change which products they normally...
Entry barriers are high (Automotive Parts Suppliers) 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 automotive-parts-suppliers'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 automotive-parts-suppliers's most important five forces statements.