According to Porter's Five Competitive Forces model, all of the following are considered external environmental forces except:
A) power of suppliers.
B) diversification of product/market.
C) substitute products/services.
D) power of buyers.

Question

Quizplus · Accepted Answer

Porter's Five Competitive Forces model considers external environmental forces as the threat of new entrants, bargaining power of suppliers, bargaining power of buyers, threat of substitute products/services, and rivalry among existing competitors. Therefore, diversification of product/market is not considered an external force but an internal factor that a company can control as part of its strategic planning.

According to Porter's Five Competitive Forces Model, All of the Following