According to Michael Porter, How five forces affect industries’ profitability? How large companies can manage to sustain profitability within supply Chains and operations.

Porter’s Five Forces analysis is a framework that helps to analyze the level of competition within a particular industry. It is especially useful when starting a new business or when entering a new industry sector. According to this framework, competitiveness does not only come from competitors. Instead, the state of competition in an industry depends on five fundamental forces: the threat of new entrants, bargaining power of suppliers, bargaining power of buyers, the threat of substitute products or services, and existing industry rivalry.

1. According to Michael Porter, How five forces affect industries’ profitability? How large companies can manage to sustain profitability within supply Chains and operations.

2. How substitution force can affect Supply Chain profitability?

3. find a small company and analyze the five forces for the chosen company.

4. What are your three take away messages from the interview?

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