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The Complete Idiot's Guide® To Strategic Planning by Lin Grensing-Pophal

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Porter’s Five Forces Analysis

The problem you will face as you begin to gather information for the industry analysis is not finding enough information, it’s figuring out what to do with the information you gather and how to make sense of all of the data. There is, fortunately, a model that can help to provide a framework for this analysis: Porter’s Five Forces.
 
In 1979, Michael E. Porter, a Harvard Business School professor, developed a framework for industry analysis, which is now referred to as Porter’s Five Forces analysis. It uses five forces to examine the competitive nature of a market in terms of the market’s attractiveness or potential for profitability of a business. In an unattractive industry, the combination of these five forces ...

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