Thank You Rahima Khala for let me discuss on our analysis about Porter's 5 forces on toiletries industry.

Porter’s five forces is a valuable tool to understand the dynamics of an industry. The application of the five
forces on toiletries industry in Bangladesh is analyzed by our group which is,
Competition among the Competitors is High. The toiletries industry has high threat of rivalry, which makes it
hard to maintain high profitability as it has intense competition owing to the presence of some same size
companies. According to Bangladesh bereau of Statistics, 95% of total market share is devided between 4 to
5 companies. There is little customer loyalty so people switch from one brand to another according to their
demand and preference. Thus firms in this category prioritize on gaining a competitive advantage by using
one of the ways that could be the change in prices, to focus of differentiating the product and bring about its
improvements, to make use of creative channels of distribution and also to exploit the relationship with
suppliers. Rivalry is automatically increased when the firms are competing with the same customers.

Another impotant force is Threat of New Entrants, which is low in toiletries industry. Entry barriers into the
toiletries industry seem to be high because setting up a new company requires high level of investment and
there are many government regulation as the main ingredients are chemical, which makes it hard to enter
industry.

Bargaining Power of Buyers also a important force to understand toiletries industry. In case of toiletries
industry in Bangladesh the bargaining power of customer is very high. In Bangladesh buyer have high
purchase power and they have lots of choice too. They demand good quality, a great experience along with a
reasonable price. Since the buyers hold the power to influence the pricing decisions of a company, the
toiletries industry is also affected by the buyer’s choice and switching behavior. Some of the ways through
which buyers can affect a Toiletries Product Brand are the changes in prices, the quality of the products
offered etc. Based on this analysis, it can be concluded that buyers have a high bargaining power in the
toiletries industry .
Bargaining Power of Suppliers is very important force to understand and analyze external environment.
From our analysis on external environment we find that, usually toiletries product manufacturing company
would get ingredients and raw materials from external sources and there are many suppliers that compete to
provide their products to these companies. These conditions limit the influence of suppliers on toiletries
product manufacturing companies. Based on our analysis we can say that suppliers power is Low.

Threat of Substitute Products is another force of Porter's Five forces. The threat of substitutes is Low in
toiletries industry as there are no product which can replac our daily required toothpaste, soap, shampoo
and other products which is consider as toiletries item. So it can easily say that the threat of substitute
products in toiletries industry is low.

Now our group member Mohadev Banik will discuss on strategic gap, which we find by analyzing toiletries
Industry.