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His model can also help companies move into other market segments and help prevent others from joining in afterwards. The strength of the five forces varies from industry to industry, and can change as an industry evolves (Hill & Jones, 2008).
The Five Forces are composed of: Risk of Entry by Potential Competitors, The Bargaining Power of Buyers, The Bargaining Power of Suppliers, The Threat of Substitute products, and Rivalry Among Established Companies (Hill & Jones, 2008). Each of these forces in some shape or form has a unique impact within the market segment being analyzed. Porter once said, “Awareness of the five forces can help a company understand the structure of its industry and stake out a position that is more profitable and less vulnerable to attack (Porter, harvardbusinessonline...
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