Jabra Porter's Five Forces Analysis

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External Analysis: Michael Porter’s five forces
In business the ability to make profit depends on how strong of a position the company has in the market. This is determined by; how many competitors that offer the same products, how easy is it for other companies to enter the market if they can see that you make a profit, and how dependent are you to your customers that leads them in to making you lower your price. It is essential to determine you’re positioning in order to avoid working very hard and not being profitable.
This is why a tool like porters five forces in helpful. It is used to determine which company has the most power in a given industry it also enables the company to know which products or services can be profitable. The five forces are a holistic way of looking at any industry and understanding the structural underlying drivers of profitability and competence (Michael E. Porter)
Buyer Behavior: The number of buyers drives this; if they are more concentrated or organized their bargaining power will increase. Jabra works with strategic alliances partners within UC (Unified communications), they include world leading telecommunications companies such as Cisco, Toshiba, IBM, Mitel Astra, Microsoft Lync,
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Jabra products are differentiated in that they are superior, unique quality products and leaders in Unified communications hence, a decrease in bargaining power due to differentiation and market leader.
Bargaining Power of suppliers: If the company’s suppliers are able to raise the prices, reduce the quantity supplied, or if they are just organized and there are not many substitutes for supplied products on the market, then supplier bargaining power is very high . Jabra’s products are unique and their suppliers are driven by the number of suppliers in each key input; their suppliers include manufactures of cables, chips

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