As for the case of rivals and competitors, F&N also do not face strong direct and indirect competitors. For instance, in the Breweries segment, F&N practically own all of the available brands in the market. Tiger, Guinness and Heineken are all under its care. Hence, even if there is a switch in brands, it would most likely be within F&N. This will most probably be the same for soft drinks. In the case where consumers switch from beers to soft drinks or vice versa, the switch would most probably fall within another F&N product. This is unarguably a strength of F&N.
Most of F&N product lines such as breweries, property and soft drinks require high start up cost. As a result, economies of scale are needed for one to do well. Let alone to carry out research and produce innovations. Furthermore, F&N has strong branding and high market share in most of its markets. Coupled with its long history, it is highly recognized and accepted by people. In addition, the fact that market is already saturated with a few major players further limited the entry of new players. Therefore, it is logical to conclude that there are high barriers to entry in most of F&N markets.
Also, due to the presence of only a few players in the industry, buyers of F&N products have low bargaining power. For instance, due to regulation of the price of beer, buyers are not in the state to reduce prices.