Industry Understanding - Competition - Competitive Advantage
Sustainable competitive advantage
- is achieved when a venture has implemented a strategy that other companies do not duplicate.
- can only be maintained until competitors are able to duplicate or develop a substitute.
- requires a full complement of commitments, decisions, and actions by the entrepreneurs.
The five competitive forces that determine industry profitability by Michael Porter:
1. Potential entrants: threat of new entrants
2. Bargaining power of suppliers
3. Bargaining power of buyers
4. Threat of substitute products or services
5. Rivalry among existing firms
- is achieved when a venture has implemented a strategy that other companies do not duplicate.
- can only be maintained until competitors are able to duplicate or develop a substitute.
- requires a full complement of commitments, decisions, and actions by the entrepreneurs.
The five competitive forces that determine industry profitability by Michael Porter:
1. Potential entrants: threat of new entrants
2. Bargaining power of suppliers
3. Bargaining power of buyers
4. Threat of substitute products or services
5. Rivalry among existing firms
This blog post is based on my learnings from the course on ‘entrepreneurship’ offered by Maryland Technology Enterprise Institute, University of Maryland through Coursera (2014).
Thank you for sharing this learning !
ReplyDeleteGood to know that you enjoy reading these posts. :) You can find list of all posts here: https://entrepreneurship.vijaygonugade.com/p/explore.html
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