Porter's Five Forces Model - Creately

Collaborate effectively on analyzing the profit potential of your industry with Porter's five forces model. Free templates to collaborate with your team and ... Over8Millionpeopleand1000softeamsalreadyuseCreately CONNECT&ANALYZE DiscoverOpportunitiesforCompetitiveAdvantage Importcompetitor,customer,andsupplierresearchdataalongwithindustryandenvironmentalfactorsfromexternalsourcestovisualizeonthecanvasforeasieranalysis. Importimagesandvectorstothecanvasandembeddocumentswithin-apppreviewstoprovidemorecontextwithrelevantresources. Notestoadddetaileddocs,attachments,linksandmoreoneachitemtocapturedetailsandthebigpictureinasinglespace. Createcustomdatabasesforanykindofinformationfromcompetitorandcustomerprofilestomarketresearchandproductroadmaps. VISUALIZE&IDEATE CreateStrategiestoCapitalizeonStrengths Multiplestrategyframeworksandtemplatestogetstarted;SWOT,AnsoffMatrix,ScenarioPlanning,StrategicGrouping,BCGMatrix,andmanymore. Configurablecolorthemesandformattingcapabilitiestohighlightthesizeandscaleofeachcompetitiveforceinfavorofandagainstyou. Whiteboardwithfreehanddrawingtoassistwithvisualizingstrategiesandfreehandnotetakingduringmeetingsandbrainstormingsessionswithstakeholders. Useframesinsidetheinfinitecanvastosplitcanvasintoactionplans,Kanbanboards,timelines,grids,andmoretoorganizeyourstrategicmarketingprojects. COLLABORATE MakeFactBasedBusinessDecisionsTogether Built-invideoconferencingtogetinstantfeedbackfromyourteams,virtuallyfromanywhere. Use@mentioncommentstohavediscussionsandfollowupsonthesamecanvas. Real-timecursorsforanynumberofparticipants.Workwithyourteamonasharedcanvas. EXTEND&EXECUTE GetStakeholdersonBoardwithYourVision Multipleaccesslevelsandrolestostreamlinemanaging,sharing,editing,andreviewingstrategies. MultipleintegrationstoeasilyconnectwithpopularplatformslikeGithub,Slack,GoogleWorkspace,Confluence,andmore. Smartnotificationstostayuptodatewithchangesmadeonyourplans. Built-intoolstocreatedynamicandinteractivepresentations,reports,anddashboardsforstakeholders. WhatIsPorter’sFiveForcesModel? Porter’sfiveforcesmodelisastrategicframeworkthathelpsorganizationsunderstandtheintensityofcompetitioninanindustry,itsattractivenessandprofitabilitylevel.Themodelfocusesonasetoffivefactorsthathelpunderstandthecompetitivestrengthandthemarketpositionofanorganization.The5forcesare;threatofnewentrants,threatofsubstitutes,bargainingpowerofsuppliers,bargainingpowerofbuyers,andintensityofcompetitiverivalry. HowtoUsePorter’sFiveForces? WhenusingPorter’sfiveforcesmodeltoanalyzeyourcompetitivelandscape,youwillbelookingateachoftheforcesinturn.Itisbettertouseaworksheettemplatetorecordtheinformationyougather. Competitiverivalry:Thisiswhereyouneedtoconsiderthenumberofcompetitorsintheindustryandtheeffecttheyhaveonyou.Thecompetitiverivalrycouldbehighwhentherearemultiplecompetitorsintheindustryandtheindustrygrowthrateisslow.Hereyoumayneedtodevisestrategiestorespondtoandovercomethecompetition. Supplierpower:Lookathowmanypotentialsuppliersarethereinthemarket,howscarceistherawmaterial,theirserviceandhoweasyitisforthemtoincreasetheirprices.Howexpensivewoulditbetoswitchsuppliersorcanyoufindsubstitutematerial? Buyerpower:Thebuyershavethepowertodrivepriceslowanddemandhigherqualityproducts.Hereyouneedtoconcentrateonhowmanybuyersthereareinthemarket,thesizeoftheirorders,howeasyitwouldbeforthemtoswitchfromyoutoyourcompetitors. Threatofnewentrants:Ifanewbusinesscaneasilyenterandestablishthemselvesinyourindustrythatmayaffectyounegatively,andintensifythecompetitioninthemarket.Considertheexistingentrybarriers,howeasyitistogetaccesstosuppliersanddistributors,rulesandregulations,etc. Threatofsubstituteproducts:Arethereanysubstituteproductsyourcustomerscanuseinsteadofyours?Ifso,thatmayposeathreattoyou.Hereyouneedtofocusonhowmanysubstitutesarethereinthemarket,what’stheirqualityandpriceandhoweasilyyourbuyerscanfindthem. Finally,studythesituationyouareinbasedontheanalysisyoudid.Developstrategiestoimproveyourindustrypositiontostrengthenitandmitigatetherisksposedbyeachforce. AssessyourCompetition