Which of the following does not belong to Porter’s five forces?[Fill in the blank]

Question

Which of the following does not belong to Porter’s five forces?[Fill in the blank]

BlackTom AI · Accepted Answer

To tackle this question, I will examine each option in the context of Porter’s five forces framework.
Option a: Government regulation. This is not one of Porter’s five forces. The framework focuses on competitive forces such as market rivalry, threat of new entrants, threat of substitutes, bargaining power of buyers, and bargaining power of suppliers. Government regulation is external and regulatory in nature, but it is not enumerated as one of the five forces themselves.
Option b: Rivalry among competitors. This is a core element of Porter’s model. It represents the intensity of competition between existing firms in the industry and strongly influences profitability, price battles, and strategic moves.
Option c: Threat of substitutes. This is another fundamental force in the model. Substitutes limit the price that firms can charge and push firms to differentiate or innovate to retain customers.
Option d: Bargaining power of suppliers. This is also one of the five forces. It describes how much leverage suppliers have over prices, quality, and terms, which can affect industry profitability.
By evaluating each choice against Porter’s five forces, we can see that the only option that does not belong to the framework is Government regulation, while the other three options align directly with one of the five forces. The key misconception to watch out for is assuming regulatory factors are one of the forces, whereas Porter specifically names the five competitive forces, not regulatory influences. Another way to frame it is: if a topic changes the competitive dynamics inside the industry (rivalry, substitutes, supplier power), it’s a force in the model; if it’s an external or policy aspect, it isn’t one of the five forces. Thus, option a is the outlier in this list.

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