Belgium - Five Forces Analysis

Belgium - Five Forces Analysis

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Intensity of Existing Rivalry

Government limits competition (Belgium ) Government policies and regulations can dictate the level of competition within the industry. When...
Large industry size (Belgium ) Large industries allow multiple firms and produces to prosper without having to steal market share...

Bargaining Power of Suppliers

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

Threat of Substitutes

Limited number of substitutes (Belgium ) A limited number of substitutes mean that customers cannot easily find other products or services...

Bargaining Power of Customers

Limited buyer information availability (Belgium ) When buyers have limited information, they are at a disadvantage in negotiations with sellers....
Low dependency on distributors (Belgium ) When produces have low dependence, distributors have less bargaining power. Low dependency...
Product is important to customer (Belgium ) When customers cherish particular products they end up paying more for that one product. This...
Large number of customers (Belgium ) When there are large numbers of customers, no one customer tends to have bargaining leverage....

Threat of New Competitors

Strong distribution network required (Belgium ) Weak distribution networks mean goods are more expensive to move around and some goods don’t get to...
High capital requirements (Belgium ) High capital requirements mean a company must spend a lot of money in order to compete in the...
High sunk costs limit competition (Belgium ) High sunk costs make it difficult for a competitor to enter a new market, because they have to...
Advanced technologies are required (Belgium ) Advanced technologies make it difficult for new competitors to enter the market because they have to...
Industry requires economies of scale (Belgium ) Economies of scale help producers to lower their cost by producing the next unit of output at lower...
Entry barriers are high (Belgium ) When barriers are high, it is more difficult for new competitors to enter the market. High entry...

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