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Porter's Five Forces ~ Cae Qineiavalgsennen jumiemumibeneciiaaenaity —~— Core i eo ae , “The Stronger the ole! Supplier Power: Corcee the More Threod | 52 5 ~ s Compebtive £ . Subsite: . AGws _ Raley area fe industry, _7 lower erok ts c How intensely Rems compebe. [peice wors, advertising, ) E.gare Tesco vs Aldi High civabey —> price cubs —> lower maging > 4 Pfs Fadors Hak increase civdley? > Many Firms ° Low differentia on Ad Slow mar ket growth. . Righ Fined costs @ -The alos |. 4 oF customer to Force prices clown. (Els) ore large reta-lers forcing supplier discounts. 3 High buyer power —o pressure bo & P—» Urevenne © Profits "Few buyers Coligopse ) ° Easy wisitehing we «Bulk buying « Price sensitivity (dastic cdlemenal ) (3) Supptier Power Lette PricosmeltnaQuakihy, ‘The absiity of supples "EB. - Fue) suppliers Yo airlines. + High Supplier Power => higher Coats => 4 Profit Margins “When is supplier Pour high? > Few supplies ~No subs Wes + Waique inpubs. - How Casy is it Loe Fems to enter Yhe meset. , High erdvy — more lompehtion => P+ — Profits & Barriers to entry, High cap tel Costs * Bcand loyalty « Economies of Scale ° Legal) harriers ( Pabeds) 
