Porter’s Five Forces 
         Porter’s Five Forces 
                  Threat of 
                  Potential 
                  Competit
                   ors 
     Intensity                  Threat of 
    of Current                  Substitut
     Competiti                    e 
      on                        Products 
                   Market 
                  Profitability 
         Bargainin          Bargainin
         g Power             g Power 
           of                 of 
         Customer           Suppliers 
           s 
        Threat of New Entrants
        Threat of New Entrants
                    Economies of Scale
        Threat of   Product Differentiation
        Potential 
        Competit    Capital Requirements
         ors 
                    Access to Distribution Channels
                    Government Policy
         Porter’s Five Forces 
         Porter’s Five Forces 
                  Threat of 
                  Potential 
                  Competit
                   ors 
     Intensity                  Threat of 
    of Current                  Substitut
     Competiti                    e 
      on                        Products 
                   Market 
                  Profitability 
         Bargainin          Bargainin
         g Power             g Power 
           of                 of 
         Customer           Suppliers 
           s 
    Bargaining Power of Suppliers
    Bargaining Power of Suppliers
                Suppliers are likely to be powerful if:
                  Supplier industry is dominated by a few 
                  firms
                  Suppliers’ products have few substitutes
      Bargainin
       g Power    Buyer is not an important customer to 
        of        supplier
      Suppliers 
                  Suppliers’ product is an important input 
                  to buyers’ product
                 Suppliers’ products have high 
                 switching costs
                 Supplier poses credible threat of 
                 forward integration
         Porter’s Five Forces 
         Porter’s Five Forces 
                  Threat of 
                  Potential 
                  Competit
                   ors 
     Intensity                  Threat of 
    of Current                  Substitut
     Competiti                    e 
      on                        Products 
                   Market 
                  Profitability 
         Bargainin          Bargainin
         g Power             g Power 
           of                 of 
         Customer           Suppliers 
           s