Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBL Exams › Porters 5 Forces
- This topic has 3 replies, 2 voices, and was last updated 2 years ago by Ken Garrett.
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- September 1, 2022 at 1:52 pm #664840AnonymousInactive
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Hey Sir, will a Porters 5 Forces be able to prove poor strategy by a company operating in a duopoly? For example, it could be said that even with low competition, the company still performed poorly.
September 2, 2022 at 7:18 am #664906The Five Forces model xays nothing about individual companies. It refers to the attractiveness of markets ie how easy it should be to make a good profit.
Even a monopolist is not guaranteed profits: it could be a monopoly supplier of a product no one wants.
September 2, 2022 at 4:46 pm #664968AnonymousInactive- Topics: 5
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But doesn’t the five forces model analyse the internal and external factors whereas PESTLE is the one that analyses the external factors and SWOT analyses the internal factors?
September 3, 2022 at 2:43 pm #665036Pestel = external
SWOT = Internal (SW) and External (OT)
5 Forces = analysis of market attractiveness. All five forces are external.
SWOT and 5 Forces have overlaps. Think of threat of new entrants.
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