$npx -y skills add phuryn/pm-skills --skill porters-five-forcesPerform Porter's Five Forces analysis — competitive rivalry, supplier power, buyer power, threat of substitutes, and threat of new entrants. Use when analyzing industry dynamics, assessing competitive forces, or evaluating market attractiveness.
| 1 | # Porter's Five Forces |
| 2 | |
| 3 | ## Metadata |
| 4 | - **Name**: porters-five-forces |
| 5 | - **Description**: Perform a Porter's Five Forces analysis evaluating competitive rivalry, supplier power, buyer power, threat of substitutes, and threat of new entrants. |
| 6 | - **Triggers**: Porter's five forces, competitive forces, industry analysis, market forces, competitive dynamics |
| 7 | |
| 8 | ## Instructions |
| 9 | |
| 10 | You are a competitive strategist conducting a Porter's Five Forces analysis for $ARGUMENTS. |
| 11 | |
| 12 | Your task is to evaluate the structural attractiveness of an industry and identify the competitive dynamics that will determine profitability. |
| 13 | |
| 14 | ## Input Requirements |
| 15 | - Industry or market definition |
| 16 | - Current competitors and competitive positioning |
| 17 | - Supplier and customer landscape |
| 18 | - Potential substitutes and new entrants |
| 19 | - Product or service specifics |
| 20 | |
| 21 | ## Porter's Five Forces Framework |
| 22 | |
| 23 | ### 1. Competitive Rivalry (How intense is competition?) |
| 24 | The degree to which companies compete directly for market share and customers. |
| 25 | |
| 26 | **High Rivalry When:** |
| 27 | - Many competitors of similar size and strength |
| 28 | - Slow industry growth (zero-sum competition) |
| 29 | - Low product differentiation (commoditized) |
| 30 | - High fixed costs (pressure to maintain volume) |
| 31 | - Exit barriers are high (expensive to leave) |
| 32 | - Price competition is intense |
| 33 | - Rivals have diverse strategies and goals |
| 34 | - Emotional or strategic commitments keep rivals fighting |
| 35 | |
| 36 | **Low Rivalry When:** |
| 37 | - Few competitors |
| 38 | - High growth market |
| 39 | - High differentiation (less price-sensitive) |
| 40 | - Low fixed costs |
| 41 | - Low switching costs for competitors |
| 42 | - Industry leader has clear dominance |
| 43 | - Rivals are cooperative or have compatible goals |
| 44 | |
| 45 | **Strategic Implications:** |
| 46 | - Assess competitive positioning and differentiation |
| 47 | - Define defensible competitive advantages |
| 48 | - Monitor competitor moves and market consolidation |
| 49 | - Invest in differentiation or cost leadership |
| 50 | |
| 51 | --- |
| 52 | |
| 53 | ### 2. Supplier Power (How much power do suppliers have?) |
| 54 | The ability of suppliers to increase prices or reduce quality, affecting your profitability. |
| 55 | |
| 56 | **High Supplier Power When:** |
| 57 | - Few suppliers or concentrated supplier base |
| 58 | - Switching costs are high (changing suppliers is expensive) |
| 59 | - Backward integration threat (suppliers become competitors) |
| 60 | - Suppliers' product is critical or unique |
| 61 | - Suppliers have strong bargaining position |
| 62 | - No substitutes for supplier offerings |
| 63 | - Suppliers sell to many industries (less dependent on you) |
| 64 | |
| 65 | **Low Supplier Power When:** |
| 66 | - Many suppliers available |
| 67 | - Low switching costs |
| 68 | - Suppliers depend on your business |
| 69 | - Commodity products (interchangeable suppliers) |
| 70 | - Threat of forward integration (you become your own supplier) |
| 71 | - Available substitutes for supplier offerings |
| 72 | - You have significant bargaining leverage |
| 73 | |
| 74 | **Strategic Implications:** |
| 75 | - Diversify supplier base to reduce dependency |
| 76 | - Build strong supplier relationships |
| 77 | - Consider vertical integration or alternatives |
| 78 | - Negotiate long-term contracts with favorable terms |
| 79 | - Invest in suppliers' success (partnerships) |
| 80 | |
| 81 | --- |
| 82 | |
| 83 | ### 3. Buyer Power (How much power do customers have?) |
| 84 | The ability of customers to negotiate lower prices or demand higher quality, affecting your margin. |
| 85 | |
| 86 | **High Buyer Power When:** |
| 87 | - Few large customers (concentrated demand) |
| 88 | - Buyers switch easily and often (low switching costs) |
| 89 | - Backwards integration threat (customers become competitors) |
| 90 | - Product is undifferentiated (commoditized) |
| 91 | - Buyers have price sensitivity or tight budgets |
| 92 | - Buyers have full information about alternatives |
| 93 | - Customers can bypass you entirely |
| 94 | |
| 95 | **Low Buyer Power When:** |
| 96 | - Many fragmented customers |
| 97 | - High switching costs (lock-in, integration, training) |
| 98 | - High product differentiation (fewer alternatives) |
| 99 | - Customers depend on your product |
| 100 | - You have strong brand or reputation |
| 101 | - Switching to alternatives involves risk |
| 102 | - Customers lack information about alternatives |
| 103 | |
| 104 | **Strategic Implications:** |
| 105 | - Build strong customer relationships and loyalty |
| 106 | - Create switching costs through integration |
| 107 | - Invest in brand and differentiation |
| 108 | - Develop customer success programs |
| 109 | - Create network effects or communities |
| 110 | - Segment customers by willingness to pay |
| 111 | |
| 112 | --- |
| 113 | |
| 114 | ### 4. Threat of Substitutes (Are there alternative solutions?) |
| 115 | The risk that customers will switch to alternative products that solve the same problem. |
| 116 | |
| 117 | **High Threat When:** |
| 118 | - Good substitutes exist and are easily accessible |
| 119 | - Substitutes have similar performance or better value |
| 120 | - Switching costs to substitutes are low |
| 121 | - Customers are willing to try alternatives |
| 122 | - Substitutes are improving faster than your product |
| 123 | - Price-to-performance of substitutes is attractive |
| 124 | - Substitute technology is disruptive or emerging |
| 125 | |
| 126 | **Low Threat When:** |
| 127 | - No good substitutes exist |
| 128 | - Substitutes a |