DBS

FIVE FORCES ANALYSIS

THREAT OF POTENTIAL ENTRANTS Yes No

Is government regulation high?
Do you have proprietary techniques or patents?
Does your business have high asset requirements for startup?
Do you have high profit margins that are widely known?
Is your industry growing rapidly?
Total for threat of new entrants

SUPPLIER POWER Yes No

Would switching suppliers be extremely difficult?
Are you a small buyer compared to other buyers?
Is your supplier the exclusive seller of a critical component you buy?
Do you have an active and beneficial relationship with suppliers?
Is your supplier flexible on delivery and payment?
Total for supplier power

BUYER POWER Yes No

Do you have five or fewer customers?
Do your buyers have considerable influence in the price you charge?
Do you sell to a distributor instead of the end user?
Are you the only supplier for your buyer
Do you have a good relationship with your buyers or their representatives?
Total for buyer power

THREAT OF SUBSTITUTE SERVICES Yes No

Do you consider your service a commodity?
Are there a large number of competitors for your specific service?
Are your competitors selling in the same location as you?
Does your product have dramatic differences compared to competitors?
Does your company have a Design Value Proposition that is well known?
Total for threat of substitutes

RIVALRY AMONG EXISTING COMPETITORS YES NO

Do competitors offer price discounts?
Do competitors insult you or other competitors in ads?
Is advertising very expensive for trade journals and trade shows?
Do your competitors recruit your employees or follow your moves?
Do your competitors quickly copy services you offer?
Total for rivalry of competitors
COMPLEMENTS Yes No
Do you know what other services clients buy to use with your service?
Total for rivalry of competitors
TOTAL COMPETITION FACTOR