Cupcakes - Five Forces Analysis

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Intensity of Existing Rivalry Relatively few competitors (Cupcakes) Few competitors mean fewer firms are competing for the same customers and resources, which is a... Fast industry growth rate (Cupcakes) When industries are growing revenue quickly, they are less likely to compete, because the total... Low storage costs (Cupcakes) When storage costs are low, competitors have a lower risk of having to unload their inventory all at... Bargaining Power of Suppliers Low cost of switching suppliers (Cupcakes) The easier it is to switch suppliers, the less bargaining power they have. Low supplier switching... Threat of Substitutes Substitute is lower quality (Cupcakes) A lower quality product means a customer is less likely to switch from Cupcakes to another product... Substantial product differentiation (Cupcakes) When products and services are very different, customers are less likely to find comparable product... Bargaining Power of Customers Low buyer price sensitivity (Cupcakes) When buyers are less sensitive to prices, prices can increase and buyers will still buy the product.... Product is important to customer (Cupcakes) When customers cherish particular products they end up paying more for that one product. This... Threat of New Competitors Strong brand names are important (Cupcakes) If strong brands are critical to compete, then new competitors will have to improve their brand... Industry requires economies of scale (Cupcakes) Economies of scale help producers to lower their cost by producing the next unit of output at lower... Geographic factors limit competition (Cupcakes) If existing competitors have the best geographical locations, new competitors will have a... Customers are loyal to existing brands (Cupcakes) It takes time and money to build a brand. When companies need to spend resources building a brand,... What is Porter's Five Forces Analysis? WikiWealth's Five Forces analysis evaluates the five factors that determine industry competition. Add your input to cupcakes'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 cupcakes's most important five forces statements.