What are the five areas of Five-Force Model of Competition
What are the five areas of Five-Force Model of Competition?
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This model contains that the state of competition in an industry is a compound of competitive pressures operating in five regions of the overall market:
a. Competitive pressures linked with the market jockeying and maneuvering for buyer support that goes on among rival sellers in the organization.
b. Competitive pressures linked with the threat of new entrants into the market.
c. Competitive pressures coming from the efforts of companies in other industries to win purchasers over to their personal substitute products.
d. Competitive pressures stemming from supplier-seller collaboration and supplier bargaining power.
e. Competitive pressures stemming from seller-buyer collaboration and buyer bargaining power.
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