The primary objective of Porter's five forces model is to
A) understand valuable, rare, and hard-to-imitate resources.
B) understand the profit potential of industries.
C) reduce the gap between the value of a firm's product and its cost of production.
D) break down a firm's value chain activities into primary and support.

Question

Quizplus · Accepted Answer

Michael Porter developed the highly influential five forces model to help managers understand the profit potential of different industries and how they can position their respective firms to gain and sustain competitive advantage.

The Primary Objective of Porter's Five Forces Model Is to