Porter's model

Porter's Five Forces model helps analyze a company's competitive environment by examining five key factors: the threat of new competitors entering the industry, the bargaining power of suppliers and customers, the threat of substitute products, and the intensity of rivalry among existing competitors. This framework helps businesses understand the pressures they face and identify strategies to improve profitability and market position. By assessing these forces, companies can better anticipate challenges and make informed decisions to sustain competitive advantage.