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Porter's Five Forces of Analysis


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Developed by Harvard Business Professor Michael Porter, Porter's Five Forces of Analysis, is a tool used to analyze the competitiveness of a given industry. Also referred to as the competitive forces model, the Five Forces model is an excellent tool for entrepreneurs who are considering starting a business in a certain industry. By conducting an analysis of their industry, entrepreneurs can better understand the competitive dynamics surrounding that industry and whether it makes sense to enter that industry. The five forces model consist of the following:

  • competitor rivalry
  • barriers to entry
  • threat of substitutes
  • supplier power
  • buyer power

In this video you'll learn how to conduct your own analysis utilizing the Five Forces model. 

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