Industry’s Strategic Position
Choose an aspect of the information technology (IT) industry that has not been previously used as an example in this course. Use Porter’s five forces to make a qualitative evaluation of the industry’s strategic position. Be sure to explain each of the five forces as well as explain how they relate to your chosen industry.
Remember to include the following elements (Porter’s five forces):
Are new entrants being attracted to the market, and are there barriers to entry in the industry?
Are there other products that could be alternatives to offerings in the chosen industry?
What degree of bargaining power do the buyers have in terms of putting the industry under pressure to provide more products or less cost?
What is the importance of raw materials, components, labor, and services that are required for the industry, and are there substitutes for those inputs? Discuss the possibility of switching suppliers, if necessary.
Does the industry have a sustainable competitive advantage?