business strategies

Question 1

what is porter’s 5 forces model
(ppptt)

Answer 1

⋆power of suppliers ⋆
more powerful=less control for business
⋆power of buyers ⋆
assess how easy it is for buyers to drive prices down
⋆threat of new entrants ⋆
barriers to enter the market = low = easy to enter
⋆power of competitors ⋆
if the product is unique the business has more power
⋆threat of substitutes ⋆
if product is easily substituted the business has little power

Question 2

what is porter’s 5 forces model
(ppptt)

Answer 2

⋆power of suppliers ⋆
more powerful=less control for business
⋆power of buyers ⋆
assess how easy it is for buyers to drive prices down
⋆threat of new entrants ⋆
barriers to enter the market = low = easy to enter
⋆power of competitors ⋆
if the product is unique the business has more power
⋆threat of substitutes ⋆
if product is easily substituted the business has little power

Question 3

challenges of pestle

Answer 3

⋆political
certain government policies
⋆economic
high inflation/interest rates
⋆social
customers cannot afford because of low income
⋆technological
business cannot afford new technology
⋆legal
legal requirements are time consuming
⋆environmental
disposal of certain goods can be expensive