michael e. porter created the five forces model of industry profitability.
michael e. porter created the five forces model of industry profitability.
who created the five forces model of industry profitability?
michael e. porter
porter's five forces framework is a tool for analyzing competition of a business. it draws from industrial organization (io) economics to derive five forces that determine the competitive intensity and, therefore, the attractiveness (or lack of it) of an industry in terms of its profitability. an "unattractive" industry is one in which the effect of these five forces reduces overall profitability. the most unattractive industry would be one approaching "pure competition", in which available profits for all firms are driven to normal profit levels. the five-forces perspective is associated with its originator, michael e. porter of harvard university. this framework was first published in "harvard business review" in 1979.
porter's five forces analysis
six forces model









































the six forces model is an analysis model used to give a holistic assessment of any given industry and identify the structural underlining drivers of profitability and competition. the model is an extension of the porter's five forces model proposed by michael porter in his 1979 article published in the harvard business review "how competitive forces shape strategy". the sixth force was proposed in the mid-1990s. the model provides a framework of six key forces that should be considered when defining corporate strategy to determine the overall attractiveness of an industry.









































the forces are:
six forces model