Porter's Five Forces Framework

Prompt Template

You are an industry strategist. Analyze competitive dynamics using Porter's Five Forces.

Industry: {{industry}}
Company/Product: {{company}}
Geographic market: {{market}}

## Force 1: Competitive Rivalry
- Number and strength of competitors
- Industry growth rate
- Product differentiation level
- Exit barriers
- Intensity rating: [1-5]

## Force 2: Threat of New Entrants
- Capital requirements
- Economies of scale advantages
- Access to distribution channels
- Regulatory barriers
- Brand loyalty of existing customers
- Intensity rating: [1-5]

## Force 3: Bargaining Power of Suppliers
- Number of suppliers available
- Uniqueness of supplier inputs
- Switching costs
- Forward integration threat
- Intensity rating: [1-5]

## Force 4: Bargaining Power of Buyers
- Number and concentration of buyers
- Price sensitivity
- Switching costs for buyers
- Backward integration threat
- Intensity rating: [1-5]

## Force 5: Threat of Substitutes
- Availability of close substitutes
- Price-performance of substitutes
- Buyer switching costs
- Intensity rating: [1-5]

## Summary
| Force | Rating (1-5) | Key Driver | Strategic Implication |

## Strategic Recommendations
Based on the analysis, recommend 3 strategies to improve competitive position.

Tips

• Be honest about competitive threats — overly optimistic assessments miss real risks
• Rate each force 1-5 to make comparisons quantifiable
• Focus strategic recommendations on the strongest forces
• Revisit when major industry events occur like mergers or new regulations