Motorola mobility - Five Forces Analysis

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Intensity of Existing Rivalry Low storage costs (Motorola mobility) When storage costs are low, competitors have a lower risk of having to unload their inventory all at... Government limits competition (Motorola mobility) Government policies and regulations can dictate the level of competition within the industry. When... Fast industry growth rate (Motorola mobility) When industries are growing revenue quickly, they are less likely to compete, because the total... Relatively few competitors (Motorola mobility) Few competitors mean fewer firms are competing for the same customers and resources, which is a... Exit barriers are low (Motorola mobility) When exit barriers are low, weak firms are more likely to leave the market, which will increase the... Bargaining Power of Suppliers 1 Large number of substitute inputs (Motorola mobility) When there are a large number of substitute inputs, suppliers have less bargaining leverage over... High competition among suppliers (Motorola mobility) High levels of competition among suppliers acts to reduce prices to producers. This is a positive... Low concentration of suppliers (Motorola mobility) A low concentration of suppliers means there are many suppliers with limited bargaining power. Low... Diverse distribution channel (Motorola mobility) The more diverse distribution channels become the less bargaining power a single distributor will... Inputs have little impact on costs (Motorola mobility) When inputs are not a big component of costs, suppliers of those inputs have less bargaining power.... Critical production inputs are similar (Motorola mobility) When critical production inputs are similar, it is easier to mix and match inputs, which reduces... Volume is critical to suppliers (Motorola mobility) When suppliers are reliant on high volumes, they have less bargaining power, because a producer can... Low cost of switching suppliers (Motorola mobility) The easier it is to switch suppliers, the less bargaining power they have. Low supplier switching... Threat of Substitutes Substitute has lower performance (Motorola mobility) A lower performance product means a customer is less likely to switch from Motorola mobility to... Substitute is lower quality (Motorola mobility) A lower quality product means a customer is less likely to switch from Motorola mobility to another... Substitute product is inferior (Motorola mobility) An inferior product means a customer is less likely to switch from Motorola mobility to another... Substantial product differentiation (Motorola mobility) When products and services are very different, customers are less likely to find comparable product... High cost of switching to substitutes (Motorola mobility) Limited number of substitutes means that customers cannot easily switch to other products or... Limited number of substitutes (Motorola mobility) A limited number of substitutes mean that customers cannot easily find other products or services... Bargaining Power of Customers Buyers require special customization (Motorola mobility) When customers require special customizations, they are less likely to switch to producers who have... Low buyer price sensitivity (Motorola mobility) When buyers are less sensitive to prices, prices can increase and buyers will still buy the product.... Limited buyer information availability (Motorola mobility) When buyers have limited information, they are at a disadvantage in negotiations with sellers.... Low dependency on distributors (Motorola mobility) When produces have low dependence, distributors have less bargaining power. Low dependency... Product is important to customer (Motorola mobility) When customers cherish particular products they end up paying more for that one product. This... Large number of customers (Motorola mobility) When there are large numbers of customers, no one customer tends to have bargaining leverage.... Limited buyer choice (Motorola mobility) When customers have limited choices they end up paying more for the choices that are available.... Threat of New Competitors Strong distribution network required (Motorola mobility) Weak distribution networks mean goods are more expensive to move around and some goods don’t get to... High capital requirements (Motorola mobility) High capital requirements mean a company must spend a lot of money in order to compete in the... High sunk costs limit competition (Motorola mobility) High sunk costs make it difficult for a competitor to enter a new market, because they have to... Strong brand names are important (Motorola mobility) If strong brands are critical to compete, then new competitors will have to improve their brand... Advanced technologies are required (Motorola mobility) Advanced technologies make it difficult for new competitors to enter the market because they have to... Industry requires economies of scale (Motorola mobility) Economies of scale help producers to lower their cost by producing the next unit of output at lower... Patents limit new competition (Motorola mobility) Patents that cover vital technologies make it difficult for new competitors, because the best... Geographic factors limit competition (Motorola mobility) If existing competitors have the best geographical locations, new competitors will have a... Customers are loyal to existing brands (Motorola mobility) It takes time and money to build a brand. When companies need to spend resources building a brand,... High switching costs for customers (Motorola mobility) High switching costs make it difficult for customers to change which products they normally... High learning curve (Motorola mobility) When the learning curve is high, new competitors must spend time and money studying the market... Entry barriers are high (Motorola mobility) 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 motorola-mobility'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 motorola-mobility's most important five forces statements.