Adobe Systems, Inc. - Five Forces Analysis

Adobe Systems, Inc. - Five Forces Analysis

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Intensity of Existing Rivalry

Exit barriers are low (Adobe Systems, Inc.) When exit barriers are low, weak firms are more likely to leave the market, which will increase the...
Fast industry growth rate (Adobe Systems, Inc.) When industries are growing revenue quickly, they are less likely to compete, because the total...
Relatively few competitors (Adobe Systems, Inc.) Few competitors mean fewer firms are competing for the same customers and resources, which is a...

Bargaining Power of Suppliers

Diverse distribution channel (Adobe Systems, Inc.) The more diverse distribution channels become the less bargaining power a single distributor will...

Threat of Substitutes

Substitute product is inferior (Adobe Systems, Inc.) An inferior product means a customer is less likely to switch from Adobe Systems, Inc. to another...
Substitute is lower quality (Adobe Systems, Inc.) A lower quality product means a customer is less likely to switch from Adobe Systems, Inc. to...
Substantial product differentiation (Adobe Systems, Inc.) When products and services are very different, customers are less likely to find comparable product...
High cost of switching to substitutes (Adobe Systems, Inc.) Limited number of substitutes means that customers cannot easily switch to other products or...
Limited number of substitutes (Adobe Systems, Inc.) A limited number of substitutes mean that customers cannot easily find other products or services...

Bargaining Power of Customers

Product is important to customer (Adobe Systems, Inc.) When customers cherish particular products they end up paying more for that one product. This...
Limited buyer choice (Adobe Systems, Inc.) When customers have limited choices they end up paying more for the choices that are available....
Large number of customers (Adobe Systems, Inc.) When there are large numbers of customers, no one customer tends to have bargaining leverage....

Threat of New Competitors

High capital requirements (Adobe Systems, Inc.) High capital requirements mean a company must spend a lot of money in order to compete in the...
Customers are loyal to existing brands (Adobe Systems, Inc.) It takes time and money to build a brand. When companies need to spend resources building a brand,...
Strong brand names are important (Adobe Systems, Inc.) If strong brands are critical to compete, then new competitors will have to improve their brand...
High switching costs for customers (Adobe Systems, Inc.) High switching costs make it difficult for customers to change which products they normally...
Advanced technologies are required (Adobe Systems, Inc.) Advanced technologies make it difficult for new competitors to enter the market because they have to...
High learning curve (Adobe Systems, Inc.) When the learning curve is high, new competitors must spend time and money studying the market...
Entry barriers are high (Adobe Systems, Inc.) When barriers are high, it is more difficult for new competitors to enter the market. High entry...

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