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Porter's 5 force model

Need to apply Porter's 5 force model to the case and critique the proposed model used in the case as compared to Porter's strategy.

The case is: How Strategy Shapes Structure
by W. Chan Kim and Renée Mauborgne

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Porter's 5 force model application

Need to apply Porter's 5 force model to the case and critique the proposed model used in the case as compared to Porter's strategy.

Michael Porter's five force model gives firms a framework to analyze their industry as being influenced by the five forces. The firm faces rivalry from other firms, this is the first force. There are barriers to entry into the industry. This is the second force. The third force is the threat of substitutes. The fourth is the buyer power and the fifth force is supplier power. The business unit according to Porter competed mainly in background of industry rivalry. Now, according to Porter if a business used either of the generic strategies namely cost leadership, differentiation, or focus, at the business unit to create a competitive advantage, its strategy will place the firm in a position where it can power its strengths and defend against the deleterious effects of the five forces.

The proposed model delineates two approaches the structuralism approach and ...

Solution Summary

Porter's 5 force model is discussed in great detail in this solution.

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