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Porter 5 forces analysis

According to Michael Porter's ground breaking 1979 theory, there are 5 forces that influence a firm's competitive strategy. Four forces -- the bargaining power of customers, the bargaining power of suppliers, the threat of new entrants, and the threat of substitute products -- combine with other variables to influence a fifth force, the level of competition in an industry. Each of these forces has several determinants:

This 5 forces analysis is just one part of the complete Porter strategic system. The other elements are strategic groups (also called strategic sets), the value chain, the generic strategies of cost leadership, differentiation, and focus, and the market positioning strategies of value based, needs based, and access based market positions.

Table of contents
1 See also
2 Lists of related topics
3 Further reading

See also

Lists of related topics

Further reading