Five Forces Model

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Description

The content in Module 2 includes the study of frameworks that may be used to assist in industry analysis. The discussion this week centers on frameworks and their usefulness, attributes, and strengths.

Table 2.1 in your textbook (Attached), Foundations of Strategy, shows a listing of profitability of U.S. industries. Pick an industry of interest to you, and research leading Middle Eastern companies in that industry. Develop a convincing argument that Porter’s Five Forces Model would or would not be a useful tool for this industry.

  • Directions:
    • standards and APA style guidelines.
    • Write a four-part essay One page (i.e., an essay that includes an introduction paragraph, the essay’s body, and a conclusion paragraph)
    Regards,

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Explanation & Answer

Attached.

Running head: FIVE FORCES MODEL

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Five Forces Model
Name
Institution

FIVE FORCES MODEL

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Five Forces Model
Introduction

Food Consumer Products is one of the most profitable industry in the USA, under this
sector there are companies like PepsiCo, Kraft Foods and General Mills. To be profitable in such
a highly competitive sector depends on various systematic influences of the industry structure.
Therefore it is significant to know the industry structure, that is, the size and distribution of
rivalry intensity and different sizes of the competitors, ease of entry to the market, availability of
substitutes.
Porters five forces model tool can be used to analyze competition in this sector — the
model assists in verifying the intensity of competition and the desirability concerning
profitability. According to the model of competition framework, it shows the profitability of a
sector as determined by the five sources of competitive force (Grant & Jordan, 2015). Since the
food consumer products are affected by the life span of their product, a company such as Kraft
food sells cheese products which go bad at a higher rate, and therefore any delays due to
competition lead to losses.
Five Forces Model
Porters model forces ...


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