FreshDirect - Five Forces Analysis

FreshDirect - Five Forces Analysis

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Short description of Porter's Five Forces analysis for…

Intensity of Existing Rivalry

Hold large market share for NYC Area (FreshDirect) Please edit this page to add a description…
Fast industry growth rate (FreshDirect) When industries are growing revenue quickly, they are less likely to compete, because the total...
Relatively few competitors (FreshDirect) Few competitors mean fewer firms are competing for the same customers and resources, which is a...
Exit barriers are low (FreshDirect) When exit barriers are low, weak firms are more likely to leave the market, which will increase the...

Bargaining Power of Suppliers

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High competition among suppliers (FreshDirect) High levels of competition among suppliers acts to reduce prices to producers. This is a positive...
Large number of substitute inputs (FreshDirect) When there are a large number of substitute inputs, suppliers have less bargaining leverage over...
Diverse distribution channel (FreshDirect) The more diverse distribution channels become the less bargaining power a single distributor will...
Critical production inputs are similar (FreshDirect) When critical production inputs are similar, it is easier to mix and match inputs, which reduces...
Volume is critical to suppliers (FreshDirect) When suppliers are reliant on high volumes, they have less bargaining power, because a producer can...
Low cost of switching suppliers (FreshDirect) The easier it is to switch suppliers, the less bargaining power they have. Low supplier switching...

Threat of Substitutes

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

Bargaining Power of Customers

Buyers loyalty is essential to grow business (FreshDirect) Please edit this page to add a description…
Buyers require special customization (FreshDirect) When customers require special customizations, they are less likely to switch to producers who have...
Low dependency on distributors (FreshDirect) When produces have low dependence, distributors have less bargaining power. Low dependency...
Product is important to customer (FreshDirect) When customers cherish particular products they end up paying more for that one product. This...
Limited buyer choice (FreshDirect) When customers have limited choices they end up paying more for the choices that are available....

Threat of New Competitors

Creating a large distribution network is expensive (FreshDirect) Please edit this page to add a description…
Strong distribution network required (FreshDirect) Weak distribution networks mean goods are more expensive to move around and some goods don’t get to...
Advanced technologies are required (FreshDirect) Advanced technologies make it difficult for new competitors to enter the market because they have to...
Geographic factors limit competition (FreshDirect) If existing competitors have the best geographical locations, new competitors will have a...
High learning curve (FreshDirect) When the learning curve is high, new competitors must spend time and money studying the market...
Entry barriers are high (FreshDirect) 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 freshdirect'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 freshdirect's most important five forces statements.