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Question

Which of the following is not one of the Porters five force factor?

A
New Entrant
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B
Supplier power
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C
Competitor
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D
Political factor
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Solution

The correct option is D Political factor
Political factor is not one of the Porters five force factor.
The Porter's five forces tool is a simple but powerful tool to evaluate the power of business.Porter's Forces Analysis assumes that there are important forces that determine competitive power in a business situation. These are: a) Supplier power,
b) Buyer power,
c) Competitive rivalry,
d) Threat of substitution,
e) Threat of new entry.

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