O2 - Five Forces Analysis

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Short description of Porter's Five Forces analysis for… Intensity of Existing Rivalry Government limits competition (O2) Government policies and regulations can dictate the level of competition within the industry. When... Large industry size (O2) Large industries allow multiple firms and produces to prosper without having to steal market share... Bargaining Power of Suppliers O2 Company Inputs have little impact on costs (O2) When inputs are not a big component of costs, suppliers of those inputs have less bargaining power.... Threat of Substitutes Limited number of substitutes (O2) A limited number of substitutes mean that customers cannot easily find other products or services... Bargaining Power of Customers Product is important to customer (O2) When customers cherish particular products they end up paying more for that one product. This... Large number of customers (O2) When there are large numbers of customers, no one customer tends to have bargaining leverage.... Threat of New Competitors Strong distribution network required (O2) Weak distribution networks mean goods are more expensive to move around and some goods don’t get to... Strong brand names are important (O2) If strong brands are critical to compete, then new competitors will have to improve their brand... Advanced technologies are required (O2) Advanced technologies make it difficult for new competitors to enter the market because they have to... Patents limit new competition (O2) Patents that cover vital technologies make it difficult for new competitors, because the best... High learning curve (O2) When the learning curve is high, new competitors must spend time and money studying the market... Entry barriers are high (O2) 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 o2'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 o2's most important five forces statements.