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Knowledge of these forces provides the company with ground work to prepare its strategies and course of action. These help company determine its core strengths and weaknesses, clarifying the areas where strategic changes may yield greatest payoff, and highlights the places where industry trends promise to hold the greatest significance as either opportunities or threats.
Difference forces take on prominence in shaping competition in each industry. In Ocean going tanker industry, the key forces is probably the buyers( the major oil companies). Likewise, in the steel industry, the key forces are foreign competitors and substitute products...
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