market competition analysis 1, the buyer bargaining power: the buyer or the customer, the buyer of the competitive forces need depending on the specific situation.
Three factors: the number of required products, the buyer to buy the cost of alternative products, the buyer have their own goal.
2, the suppliers bargaining power: for a certain industry, suppliers, on the strength of the competitive power mainly depends on the supplier industry market conditions as well as the importance of the items provided in the.
Suppliers threatening one is to improve the supply price, 2 it is to reduce the quality of the product or service. 3, potential industry new entrants: potential industry new entrants is one of the important industry competition strength, most of these new entrants have new production capacity and some necessary resources, looking forward to establish a favorable market position.
4, the threat of substitutes: a sometimes often with another industry enterprise in competition condition, the reason is that the nature of the products of these enterprises are substituted.
If the price of substitute products is low, it is put into the market will make the product price ceiling in the industry can only be in a lower level, this limits the benefits in the industry.
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