abstract = “Purpose – To investigate the impact of the internet in “traditional” market – An opinion piece based on Michael. Fathoming Porter’s five forces model in the internet era. Type: Article; Author(s): G.D. Karagiannopoulos, N. Georgopoulos, K. Nikolopoulos; Date: ; Volume . Abstract, Porter’s Five Forces model is a powerful management tool for analysing the current industry information because of the Internet.

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More and more companies should go for mergers so as to reduce the threat from the giant transnational corporations.

Apple Inc. Five Forces Analysis (Porter’s Model)

Skip to main content. Many customers would rather use Apple products because of their advanced features.

There have been few porterr in new fields of scientific work. Saudi Arabia is dedicated to the concept of free trade based on competition. Porter’s model can be applied quite effectively to the UK, France or Switzerland.

Fathoming Porter’s Five Forces Model in the Internet Era

Google has already done so through products like Nexus smartphones. Further reading Al-Farsy, F. The economic integration of the GCC intwrnet states may create opportunities for Saudi industries to expand.

Considering these five forces, Apple must focus its attention on competitive rivalry and the fqthoming power of buyers. The kingdom has already accelerated the privatization drive in various key sectors. To participate successfully in the fast-approaching global economic integration, Saudi Arabia will need to control its budget deficit.

However, one resource that becomes harder to measure is the availability of skills, the levels of education and the nodel orientation towards trade and entrepreneurship.

Copyright by Panmore Institute – All rights reserved. There will be a need to look at the stability of the government and the political system.


The most favorable condition occurs when a nation uses its factors to take advantage of opportunities outside that nation. Having said tive this, however, we must recognise that Saudi Arabia is a lucky country.

This Five Forces analysis gives insights about the external factors influencing the firm. The evolution of Saudi assets, both human and capital resources, provided the pathway to preeminence in the engineering, chemical production, machinery, and banking industries.

Click here to sign up. On the other hand, switching cost is low, which means that it is easy for customers to switch from Apple to other brands, thereby making competition even tougher.

Apple Inc. Five Forces Analysis (Porter’s Model) – Panmore Institute

It is easy for customers to change brands, thereby making them powerful in compelling companies like Apple to ensure customer satisfaction. Saudi commitment to capital investments in machinery and the low entry barriers within that sector helped create Saudi’s powerful machinery industry. Economic factors can best be discussed by focusing on Saudi key industrial strengths.

Apple experiences the moderate force of the threat of new entrants. Conclusion In this paper, the methodology of Porter’s model was demonstrated by using Saudi Arabia as an example. Nations must optimize the use of their resources in Downloaded by University of Dubai At To copy t his document: While oil and chemical firms are certainly important to the overall industrial success of Saudi Arabia, some larger firms also contribute to Saudi internal strengths.

Help Center Find new research papers in: An energy source that was once wasted has been transformed into the backbone of Saudi Arabia’s vast and growing industrial sector. This demand provided the impetus for the establishment of Saudi leading industries today.


An executive summary for managers and executive Analyzing the competitive readers can be found at the end of this article advantages of Saudi Arabia with Porter’s model Sajjad M. Saudi Arabian Airlines is already considering privatization and has begun studies in this connection.

However, it is clear that the Saudi Arabian socioeconomic system cannot be easily duplicated by other Downloaded by University of Dubai At The kingdom’s proven gas reserves stood at trillion cubic feet inthe fifth largest in the world.

A home market that demands quality from its domestic manufacturers creates an atmosphere of expectation for high quality exports to the rest of the world. Analysis of the competitive situation of Saudi Arabia Porter’s model can be used as a conceptual framework for developing strategies for Saudi Arabia.

Such aggressiveness is observable in rapid innovation, aggressive advertising, and imitation. See our Privacy Policy page to find out more about cookies or to switch them off. Porter’s model Four determinants of In his book, The Competitive Advantage of Nations, Harvard Professor Michael national average Porter suggested the need for a new paradigm for analyzing the state of a country by identifying four determinants of national advantage.

Furthermore, by working closely with the International Standards Organization ISOSaudi Arabia is now at the fore- front of developing standardized guidelines for industrial exports. This part of the Five Forces analysis shows that Apple does not need to prioritize the threat of substitution in business processes like marketing and product design and development.