It is surrounded by several expanding villa suburbs with many inhabitants and governed by evans kidero the current governor. It is now one of the most prominent city in Africa both politically a nd financially it is home to thousands of Nairobi businesses and over 100 major intercounty companies including united county environmental programme and the main coordinating and headquarter for the UN in Africa and middle east t is also an established hub for businesses that makes it a good ground for my study to show how porter five forces has been used to gain competitive advantage
HOW PORTER’S FIVE FORCES DETERMINE THE COUNTY’S COMPETITIVE ADVANTAGE
Nairobi’s cultural and linguistic diversity make the country unique in many ways, so can general management theories be tailored to suit Nairobian business. Porter 's Five Forces of Competitive Position Analysis were developed in 1979 by Michael E Porter of Harvard Business School as a simple framework for assessing and evaluating the competitive strength and position of a business organization.
This theory is based on the concept that there are five forces that determine the competitive intensity and attractiveness of a market. Porter’s five forces help to identify where power lies in a business situation. This is useful both in understanding the strength of an organization’s current competitive position, and the strength of a position that an organization may look to move into.
Strategic analysts often use Porter’s five forces to understand whether new products or services are potentially profitable. By understanding where power lies, the theory can also be used to identify areas of strength, to improve weaknesses
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