The most powerful and widely used tool for diagnosing the principle competitive pressures in a market is:
A) the five forces framework.
B) PESTEL.
C) the driving forces model.
D) strategic group mapping.
E) competitor analysis.

Question

Quizplus · Accepted Answer

The five forces framework, developed by Michael Porter, is the most widely used tool for diagnosing the competitive pressures in a market. It helps businesses understand the intensity of competition, supplier power, buyer power, threat of new entrants, and threat of substitutes. This information is crucial for developing effective strategies for competing in the market. PESTEL, driving forces model, strategic group mapping, and competitor analysis are also useful tools, but they focus on different aspects of the market analysis.

The Most Powerful and Widely Used Tool for Diagnosing the Principle