Paula Logston is the owner and operator of a high-end online custom clothing company.Paula has never heard of Porter's Five Forces Model and she wants to understand why she would perform an analysis using it.If you were tasked with explaining Porter's Five Forces Model to Paula,what would be the primary reason she would want to use this type of analysis?
A)To help Paula choose a clothing business focus.
B)To help Paula evaluate the attractiveness of the clothing industry.
C)To help Paula evaluate and execute business goals.
D)All the answers are correct.

Question

Quizplus · Accepted Answer

The primary reason Paula would want to use Porter's Five Forces Model is to evaluate the attractiveness of the clothing industry. This model analyzes five competitive forces that affect the industry, including the bargaining power of suppliers and buyers, the threat of new entrants, the threat of substitute products or services, and the intensity of competitive rivalry. By understanding these forces, Paula can make informed decisions about how to compete in the market and identify potential areas for growth and improvement. The model does not directly help Paula choose a business focus or execute business goals, but it provides important information for those processes.

Paula Logston Is the Owner and Operator of a High-End