In a knowledge-based economy, intelligence is king. The more information a company possess, better it is for its management on taking correct business decisions. Here comes the importance of competitive intelligence. Right implementation of competitive intelligence allows a company to have better bargaining power and better footings in the industry in which it operates. Competitive intelligence is developed on the Michael Porter’s Five Forces analytical model. Michael Porter, a professor at Harvard Business School, developed the Five Forces analytical model to examine the competitive intensity of an industry and the relative strengths, weaknesses and leverage of the key players. At the heart of the model are five industry forces that Porter believes influence how industries behave, how they evolve and how companies posture within them. The forces are: - Bargaining power of buyers - Bargaining power of suppliers - Threat of substitute products or services - Threat of new entrants - Rivalry among existing competitors Porter referred to these forces as the micro environment, to contrast it with the more general term macro environment. They consist of those forces close to a company that affect its ability to serve its customers and make a profit. A change in any of the forces normally requires a company to re-assess the marketplace. The overall industry attractiveness does not imply that every firm in the industry will return the same profitability. Firms are able to apply their core competences, business model or network to achieve a profit above the industry average. A clear example of this is the airline industry. As an industry, profitability is low and yet individual companies, by applying unique business models have been able to make a return in excess of the industry average. (http://en.wikipedia.org/wiki/Competitive_Strategy) In the modern business world, a firm can not survive without getting efficient and effective information about other firms operating in the same industry. The more information the management has the more effective the decisions will be. But the question is, do the companies realize the benefit of competitive intelligence? If they are, what is the most effective way of compiling enough information on competitive intelligence?
What is the purpose of this post? Hardly seems fitting of this forum - full of global freelancers, hosts and others in the web design industry.
get the help on pro to survey market conditionn and give report. i see before company specialize in this service