Automobile Industry India - Five Forces Analysis

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Intensity of Existing Rivalry Product differentiation 2 Low storage costs (Automobile Industry India) When storage costs are low, competitors have a lower risk of having to unload their inventory all at... Government limits competition (Automobile Industry India) Government policies and regulations can dictate the level of competition within the industry. When... Large industry size (Automobile Industry India) Large industries allow multiple firms and produces to prosper without having to steal market share... Fast industry growth rate (Automobile Industry India) When industries are growing revenue quickly, they are less likely to compete, because the total... Relatively few competitors (Automobile Industry India) Few competitors mean fewer firms are competing for the same customers and resources, which is a... Bargaining Power of Suppliers High competition among suppliers (Automobile Industry India) High levels of competition among suppliers acts to reduce prices to producers. This is a positive... 5 http://www.wikiwealth.com/five-forces-supplier:automobile-industry-india:volume-is-cri 2 Low concentration of suppliers (Automobile Industry India) A low concentration of suppliers means there are many suppliers with limited bargaining power. Low... Critical production inputs are similar (Automobile Industry India) When critical production inputs are similar, it is easier to mix and match inputs, which reduces... Volume is critical to suppliers (Automobile Industry India) When suppliers are reliant on high volumes, they have less bargaining power, because a producer can... Threat of Substitutes High cost of switching to substitutes (Automobile Industry India) Limited number of substitutes means that customers cannot easily switch to other products or... Limited number of substitutes (Automobile Industry India) A limited number of substitutes mean that customers cannot easily find other products or services... Bargaining Power of Customers b nb dfs Low buyer price sensitivity (Automobile Industry India) When buyers are less sensitive to prices, prices can increase and buyers will still buy the product.... Low dependency on distributors (Automobile Industry India) When produces have low dependence, distributors have less bargaining power. Low dependency... Product is important to customer (Automobile Industry India) When customers cherish particular products they end up paying more for that one product. This... Large number of customers (Automobile Industry India) When there are large numbers of customers, no one customer tends to have bargaining leverage.... Threat of New Competitors High capital requirements (Automobile Industry India) High capital requirements mean a company must spend a lot of money in order to compete in the... High sunk costs limit competition (Automobile Industry India) High sunk costs make it difficult for a competitor to enter a new market, because they have to... Strong brand names are important (Automobile Industry India) If strong brands are critical to compete, then new competitors will have to improve their brand... Advanced technologies are required (Automobile Industry India) Advanced technologies make it difficult for new competitors to enter the market because they have to... Industry requires economies of scale (Automobile Industry India) Economies of scale help producers to lower their cost by producing the next unit of output at lower... Patents limit new competition (Automobile Industry India) Patents that cover vital technologies make it difficult for new competitors, because the best... Customers are loyal to existing brands (Automobile Industry India) It takes time and money to build a brand. When companies need to spend resources building a brand,... High switching costs for customers (Automobile Industry India) High switching costs make it difficult for customers to change which products they normally... Entry barriers are high (Automobile Industry India) 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 automobile-industry-india'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 automobile-industry-india's most important five forces statements.