College of Commerce P. del Rosario St.‚ Cebu City ------------------------------------------------------------------------------- An Analysis of the Philippine Fast Food Industry using Michael Porter’s Five Forces ------------------------------------------------------------------------------- Submitted to: Ms. Joyce Yang Submitted by; Group 9
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Introduction The model of the Five Competitive Forces was developed by Michael E. Porter in his book Competitive Strategy: Techniques for Analyzing Industries and Competitors in 1980. Since that time it has become an important tool for analyzing an organizations industry structure in strategic processes. Porter’s model is based on the insight that a corporate strategy should meet the opportunities and threats in the organizations external environment. Especially‚ competitive strategy should base
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The Five Forces Framework and Competitive Strategy In this framework due to Michael Porter there are two high-level stages in the creation of competitive strategy‚ each stage corresponding to a high-level determinant of profitability mentioned in the previous section. The first stage is the assessment of the attractiveness of the industry in which a given company is embedded based on a structural analysis of the industry. In this stage‚ called the five forces framework‚ five forces that influence
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PORTER’S FIVE FORCES 4 Power of Suppliers Criteria Level Effect on Power Effect on Profit Difference of Inputs High Increases Decreases Cost of Switching Suppliers High Increases Decreases Threat of Forward Integration High Increases Decreases Supplier Concentration High Increases Decreases Difference of Inputs Product differentiation within inputs in the tech industry is largely dependent on how recently the input has been developed (the extent of which it is considered
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MIS Porter’s Five Forces Model Of Toyota Porter’s five forces model is a framework for the industry analysis and development of business strategy. Three of Porter’s five forces refers to rivalry from external/outside sources such as micro environment‚ macro environment and rest are internal threats. It draws ahead Industrial Organization economics to develop five forces that conclude the competitive intensity and consequently attractiveness of a market place or industry. Attractiveness in this
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In every industry‚ there is a model that can be used to identify the strategy‚ profitability‚ and power of particular companies. This model is called the five forces model. This gives an analysis of companies for competing and personal uses. The five forces model consists of two major parts. The first part of the model consists of rivalry among existing firms‚ threat of new entrants‚ and threat of substitute products. This part measures how much actual and potential competition there is. The second
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Innovative Integrated Management System (IIMS) for Sustainable Food Industry Assoc. Prof. Dr. Prasert Suttiprasit Director of The Centre for Standards and Quality Development of Production and Services Sukhothai Thammathirat Open University Nonthaburi 11120‚ Thailand Tel. +668-1346-9000 Email. prasert_sp@yahoo.com ABSTRACT It is evident that the long-term survival and growth of global food industry depend on the availability and efficient use of raw materials‚ energy and water and other
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Porter’s Five Forces Model Analysis Pharmaceutical Industry The Threat of New Entrants: Low-to-moderate threat of new entrants due to some barriers that are difficult to overcome. The high research and development costs for new drugs increase the barrier to entry and the government policies restrict and regulate the medicine market. The Bargaining Power of Buyers: Low-to-moderate bargaining power of buyers because the main customers of pharmaceutical industry are hospitals‚ health care organisations
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Five Forces model to analyze 1. Use Michael Porter’s Five Forces model to analyze the competitive environment for easyJet. easyJet being a 100% direct sell service‚ had main focus on the internet marketing. Following Southwest Airlines model‚ easyJet started trend “no frill” services‚ which helped in keeping costs down. easyJet provided first come‚ first service with equal service for all. Therefore the target customers were leisure and casual travelers with no service for business class travelers
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Five Forces Analysis What is it? Five Forces Analysis is a tool that enables managers to study the key factors in an industry environment that shape that nature of competition: (1) rivalry among current competitors‚ (2) threat of new entrants‚ (3) substitutes and complements‚ (4) power of suppliers‚ and (5) power of buyers. When do we use it? In a strategic analysis‚ Five Forces Analysis is an excellent method to help you analyze how competitive forces shape an industry in order to adapt or
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