Description of the Model
This matrix illustrates the relationship between the risk of environmental forces affecting a business area and the other factors affecting the prospects for developing and maintaining long-term profits.
The prospect for profitability is based on factors including:
- the bargaining power of buyers
- the bargaining power of suppliers
- the threat of new entrants
- the threat of substitutes
- the competitive rivalry among existing firms in the industry
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Characterize Your Enterprise
The expert system will position your enterprise on the chart
based upon environmental factors:
- economic
- cultural
- technology
- demographic
- government
You can trace through the supporting analysis and its conclusions, adjusting your input
until you are satisfied your description accurately characterizes your enterprise.
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