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Porter's Five Forces

Porter’s Five Forces is a framework that helps analyze the competitive environment of a business. It includes: 1. **Threat of New Entrants**: How easily new businesses can enter the market. 2. **Bargaining Power of Suppliers**: The influence suppliers have on prices and quality. 3. **Bargaining Power of Buyers**: The power customers have to demand lower prices or better quality. 4. **Threat of Substitute Products**: The risk of customers switching to different products. 5. **Industry Rivalry**: The level of competition among existing businesses. These forces together shape industry profitability and strategic decisions.

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    Porter's Five Forces is a framework used to analyze the competitive environment of a business. It includes: 1. **Competitive Rivalry**: How fierce the competition is among existing companies. 2. **Threat of New Entrants**: The ease with which new companies can enter the market. 3. **Bargaining Power of Suppliers**: How much influence suppliers have on prices and quality. 4. **Bargaining Power of Buyers**: The power customers have to affect pricing and quality. 5. **Threat of Substitutes**: The likelihood that customers will switch to alternative products or services. Together, these forces help assess industry attractiveness and profitability.