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Making Business Decisions I
Michael Porter's Five Forces Model is a useful tool to aid organizations facing the challenging decision of entering a new industry or industry segment. The Five Forces Model helps determine the relative attractiveness of an industry and includes:
Buyer Power
Supplier power
Threat of substitute products or services
Threat of new entrants
Rivalry among existing competitors
Part 2 Questions:
Perform Porter's Five Forces analysis for The Broadway Cafe.
Be sure to highlight entry barriers, switching costs, and substitute products.
Determine which of Porter's Three Generic strategies you will use as you rebuild The Broadway Cafe for the 21st century.
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