Competitor

In: Social Issues

Submitted By linda2881
Words 424
Pages 2
| NEW ENTRANTS - Barriers to entry LOW – PROFIT HIGH | | Checklist questions | | Is the industry large enough to be attractive to new entrants | | Are economies of scale needed to be cometitive in the industry | How much capital investment is required to set up | How easy/ hard will it be for new entrants to get distribution for products/Services | What Government policy restrictions are there | How onerous is compliance with the industry | How strong are the brands in the industry | How easy/ Hard is it for customers to switch their business between competitors in the industry | | | POWER OF SUPPLIERS - (Manufacturer of the parts) Power of the supplier LOW – PROFIT HIGH | | What is the number and concentration of suppliers | How inportant are specific suppliers inputs | how likely are suppliers to forward intergrate | how easily can organisations in the industry switch suppliers | what is the proportion of the cost of the suppliers products relative to the total cost of the industry product or service | Is information about the suppliers product easily avaliable | how profitable are the suppliers? | | | POWER OF BUYERS -STRONG | | How concentrated are the buyers in the industry? Is distribution controlled by a few important outlets | Are there alternative channels of distribution | what impact does the product or service being purchased by the buyer have on their business? | How likely are buyers to backwards intergrate? | How easy or difficult is it for buyers to switch to alternative suppliers? | How important are industry volumes to buyers? | What is the porportion of the cost of the industry product being purchased relative to other products and services the buyers buy? | How profitable is the buyer? | How easliy can the buyer access information about the industrys products and…...

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