Porter’s Five Forces Analysis docx.

Running head: MANAGEMENT
Business
Name of the Student:
Name of the University:
Author Note:

MANAGEMENT1
Table of Contents
Introduction:....................................................................................................................................3
Porter’s Five Forces Analysis and Industry Attractiveness:............................................................3
Conclusion:......................................................................................................................................5
References:......................................................................................................................................6

MANAGEMENT2
Introduction:
The objective of the report is to provide an overview of five forces and the
environmental trends with respect to Boeing Company (boeing.com 2020). Michael Porter made
an observation where the five forces have significant influence on the profitability of the firm
within industry. In recent times, the analysis of the five forces in the business world came to be
known as the Porter’s Five Forces analysis. It acts as the strategic management tool for analyzing
the industry and understanding the underlying levers of cost-effectiveness within the given
industry. The report therefore portrays on how Boeing Company is able to establish sustainable
competitive advantage within Aerospace Products & Services industry.
Porter’s Five Forces Analysis and Industry Attractiveness:
The Porter’s Five Forces represents a holistic strategic framework that portrayed certain
things more than simply analyzing the present competition (Dobbs 2014). The Boeing Company
has been a leading firm in the Aerospace Products and Services industry. Years of experience has
redefined ways in which the Boeing Company does business. The five forces of Porter that had
remarkable impact on the cost-effectiveness of the organization with the industry includes:
1. Threat of the New Entrants: The new entrants in the Aerospace Product & Service
industry leads to innovation and newer means for the implementation of things thereby creating
pressure on the Boeing Company to not only lower pricing strategy but also reduce cost and
value propositions to the customers(Gayle and Wu 2013). The company however, attempts in
managing the challenge and safeguarding the barriers to attain competitive advantage in the
following manner:
 By remaining committed towards the innovation of new products