The five forces model is a framework
A)For increasing buyer force in the market
B)For improving competition in the industry
C)For analyzing the attractiveness of an industry
D)Of matching resources and capabilities of the firm

Question

Quizplus · Accepted Answer

The five forces model is a framework for analyzing the attractiveness of an industry, taking into account the bargaining power of suppliers, the bargaining power of customers/buyers, the threat of new entrants, the threat of substitute products, and the intensity of competitive rivalry. It is not intended to increase buyer force or improve competition, nor is it specifically designed for matching resources and capabilities of a firm.

The Five Forces Model Is a Framework