this is simply a class presentation done lately and would like share with everyone.

1. The 5 Competitive Forces That Shape Strategy

4. Economist Michael E. Porter identified……… Image : Extracted from Google Source : Harvard Business Review / January 2008 / hbr.org

6. Issue – Limitations of 5 Forces Rivalry among existing competitors Threat of substitute products or service Threat of new entrants Bargaining power of suppliers Bargaining power of buyers 5 Forces Soft factors: Skills Culture Intangible assets Reputation Definition of competitors & customers Impact of IT Economic turbulence

7. Emerging of New Forces Organization Reinvention Customers’ Expectations Information Technology

14. Rivalry Among Existing Competitor (6)

30. Porter’s opinion is that to strategize product on price, quality, after sales service and location in order to create value and to reduce another product from looking “attractive”. In other words, Porter’s theory is to create a difference or be different. By being distinctive, you are able to win over your customer though there are dozens of products with similar functions in the market. Example: Google and other search engines like Yahoo, Excite, Lycos, Alta Vista Etc The Power of Substitutes Products or Services (4)