Competitive Analysis in B2B Broadband Industry
Competitive analysis of B2B broadband industry
Porter's five forces model is a framework upon which an industry can be analyzed. It also helps to create business strategy by deriving the attractiveness of a market. The model uses five components, referred to as forces, which are threat of substitute products, industry rivalry, threat of new entrants, bargaining power of suppliers, and bargaining power of customers (Porter, 1980). The first three are forces from horizontal competition from competitors while the last two are forces from vertical competition from customers and suppliers.
Threat of new entrants
The B2B broadband industry is one that is growing year on year meaning new companies may be seeing opportunities for growth and gaining market share. Over the last two years, the expansion in the B2B broadband industry has been at about 13%. This high growth is a threat for the entry of new...
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