Table of Contents 1.Introduction 2.Substitute products 3.Bargaining power of customers 4.Bargaining power of suppliers 5.Entrance barriers 6.Usefulness of the Five forces 7.Limitations of the five forces Model 8.Porter in the airline industry/Ryanair Introduction The model of the Five Competitive Forces was developed by Michael Porter in his book Competitive Strategy: "Techniques for Analyzing Industries and Competitors" in 1980. Since that time it has become an important instrument for analyzing an organisations industry structure in the …showed first 75 words of 1781 total…

…showed last 75 words of 1781 total…the new situation; but it will hardly provide much meaningful advice for preventive actions. * The model is based on the idea of competition. It assumes that companies try to achieve competitive advantages over other players in the markets as well as over suppliers or customers. With this focus, it dos not really take into consideration strategies like strategic alliances, electronic linking of information systems of all companies along a value chain, virtual enterprise-networks or others.