Pros And Cons Of Porter's Theory

Porter’s Theory Porter’s Theory relates to the profitability of different companies in terms of their business outlook. What company is the most profitable? How can we gain better clientele? Where do we rank amongst other competitors as far as profitability? These are all questions that a company would search to find the answer to when debating their position in the business world. FILA is a known sneaker and clothing company that has taken a huge fall within the last decade. In this research, I will apply the Porter’s Theory to the shoe and clothing company to demonstrate the pros, cons, and threat levels that the company may have now and in the future. To start off, the buyers are the first aspect that a company should look at. No revenue …show more content…
This is because clothing and shoes are rated by people’s preferences. Everybody has their own taste, their own style and their own way that they would like to dress seasonal and daily. Fila has done a good job with generating a plethora of seasonal items for both shoes and clothing. Fila’s various styles include their winter line, summer, line and generic spring line. Fila provides different shoes for seasons as well such as boots, tennis shoes, and casual. New entrants will supply the same diversity to the public which will make it hard for the company to continue to snatch the buyers interest. Not only is it that Fila has been around for a decent amount of time, but it is also that people don’t look at the company as an expensive one. In today’s generation, we tend to want/need to the expensive clothing just to make yourself feel good. With issues such as bullying, people try to impress their peers just so that they’ll be accepted and befriend the “cool …show more content…
Nike, Adidas, V-lone, Balmain, Gucci, Prada, Bape, and Jordan. These are not even close to the amount of companies that are more than capable to provide buyers with the same materials that Fila offers. The existing companies have an extremely high threat to the company; more so than the new entrants who are just coming up and trying to get established. These existing companies all have been at the top way longer than Fila and have been keeping the publics interests by creating more and more designs that are very attractive to the buyers, including myself. Fila will have to figure out a way to surpass all the current hype of these other companies and make a new clothing line that the young generations will