Porter competitive forces model, International Economics

Assignment Help:

Porter Competitive Forces Model:

        Effectively dealing with the competitive forces that exist within its industry lead to a successful organization. The organization interacts with its suppliers, competitors and customers. In addition, there is the potential to substitute services and products. It is extremely necessary that these interplays are evidently understood and defined (Ward & Peppard, 2002, p. 95). The Porter model is used to analyze the value or attractiveness of an industry structure (12 Manage, 2007: Five Competitive Forces).

1543_Porter Competitive Forces Model.png

Figure five competitive forces (Porter)

         The International Medical Center (IMC) should take the entry of competitors into account, because Saudi Arabia is in a stage of prosperity and development particularly in health care. The International Medical Center is a leader for the private sector in the country of Saudi Arabia because it provides high quality health care service. Therefore, the competition in this area has its position and will be ongoing, for the reason that the economy in Saudi Arabia has shifted its focus on health care.

     IMC has a huge impact in the force of customers (patient), the patients of IMC from many areas inside and outside Saudi Arabia. The International Medical Center is studying the needs of patients, the quality of services most requested, and the common diseases, to provide high quality service.

     Suppliers have a huge impact on the International Medical Center's achievement, because they provide the hospital with medical apparatus necessary to carry out operations, diagnostics, and treatment for patients. In addition, IMC has a service contract and medical equipment from different companies around the world. As a result, it is reliant on these suppliers, which makes them powerful and allows them to exert power over the organization. Consequently, it is extremely significant to have successful communication with those suppliers.

        The threat of substitutes is found in that the IMC continues to develop its health services and medical equipment, and this threat can be solved by using advanced technologies.

       Actually, following the most highly developed technology is a critical issue in the success of hospitals such as IMC. Communication with all of the competitive forces that Porter mentioned is extremely significant, by using the most highly developed technology which is able to help the hospital to have improved performance.


Related Discussions:- Porter competitive forces model

Trading, suppose that France has a trade surplus with the united kingdom, w...

suppose that France has a trade surplus with the united kingdom, what would you expect to happen to price,wages, and commodity price in France? why? what would happen to the terms

Opportunity cost, what is the criticism of opportunity cost

what is the criticism of opportunity cost

Types of transactions between the residents of countries, Q. What a...

Q. What are the three types of transactions between the residents of different countries? Answer: 1. Trades of services and goods for goods or services. 2

NET BARTER TERMS OF TRADE OR COMMODITY TERMS OF TRADE, TERMS OF TRADE MEAN...

TERMS OF TRADE MEANING AND NET BARTER TERMS OF TRADE MEANING TABLE DIAGRAM

Does foreign aid lead to economic growth?, Question 1: The main challen...

Question 1: The main challenge facing governments in the 21st century revolves around containing and/or downsizing of public spending. Explain why reduced government interventi

Nature and basis of international trade, discus how every economy is essent...

discus how every economy is essentially part of the international economy

Trade barriers, why do nations impose trade barriers

why do nations impose trade barriers

What is the integration of rm , What is the integration of RM in the intern...

What is the integration of RM in the international economic structures

Equation needed, If one were to use the simple monetary model to predict th...

If one were to use the simple monetary model to predict the $/Euro exchange rate (L is constant), what would the expected exchange rate be?

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd