abstract = “Purpose – To investigate the impact of the internet in “traditional” market – An opinion piece based on Michael. Fathoming Porter’s five forces model in the internet era. Type: Article; Author(s): G.D. Karagiannopoulos, N. Georgopoulos, K. Nikolopoulos; Date: ; Volume . Abstract, Porter’s Five Forces model is a powerful management tool for analysing the current industry information because of the Internet.

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Useful framework Although Porter’s model provides a useful framework for analyzing the environment, especially the economic one, and this article focused on the practical application of Porter’s model on Saudi Arabia, other countries may also benefit from generating strategies for maintaining or gaining competitive advantages in the global market.

The development of a strategy, be it for a career, a company, an industry, or a nation, requires a systematic analysis of the competitive advantages and disadvantages of the respective system the nation in our discussion which, in turn, operates within a larger environment.

The company manages a port f olio of more t han j ournals and over 2, books and book series volumes, as well as providing an ext ensive range of online product s and addit ional cust omer resources and services. Saudi Arabian Airlines is already considering privatization and has begun studies in this connection. The Saudis’ post war decision to double their armed forces and to acquire more sophisticated military equipment will exacerbate their long-term financial problems Kanovsky, Porter’s approach will render a nation’s business activities more feasible and efficient within the international arena through the proper identification and optimal utilization of each country’s factor endowments, thereby promoting the nation’s continued global success.

For example, people can easily use digital cameras instead of the iPhone to take pictures.

Apple Inc. Five Forces Analysis (Porter’s Model)

Saudi Arabia is dedicated to the concept of free trade based on competition. Use mofel comparative In this rapidly changing global economy, it has become necessary for individual advantages nations to use their comparative advantages in order to remain or become competitive and prosperous. Copyright by Panmore Institute – All rights reserved. The country is also beset by huge financial requirements for its its high social costs.


Fathoming Porter’s five forces model in the internet era

Those with a Michael Porter’s work on international competitiveness produced the first particular interest in the real challenges to classical economic thinking about international trade and topic covered may then read national advantage in over years.

Samsung also used to be a new entrant. mdoel

Porter’s model can be applied quite effectively to the UK, France or Switzerland. Jasimuddin Lecturer in the Industrial Engineering Department, King Abdulaziz University, Jeddah, Saudi Arabia Keywords Saudi Arabia, Competitive advantage, Economic conditions, Export Abstract Saudi Arabia is one of the rea wealthiest nations per capita and, through possession of a large share of the world’s oil resources, an economic power.

Such aggressiveness is observable in rapid innovation, aggressive advertising, and imitation.

The Saudi oil export-driven economy relies on gaining and maintaining market shares in many foreign markets. However, it is clear that the Saudi Arabian socioeconomic system cannot be easily duplicated by other Downloaded by University of Dubai At Private companies are being encouraged to enhance their torces in infrastructure development, including power, water, sanitation and public transportation.

Intrinsic economic factors affecting Saudi industrial productivity include unlimited natural resources e. High levels of unemployment add to this burden.

Apple Inc. Five Forces Analysis (Porter’s Model) – Panmore Institute

See our Privacy Policy page to find out more about cookies or to switch them off. Saudi Arabia is presently providing for its modernization which, among other things, will have the most modern telecommunications and industrial infrastructure in the whole of the Middle East. Saudi Arabia is one of the world’s wealthiest nations per capita. Establishing a business to compete against firms like Apple requires high capitalization. The kingdom’s proven gas reserves stood at trillion cubic feet inthe fifth largest in the world.


In addition to skill, there are shortages in good secretarial skills coupled with sufficient English-speaking skills. To cite fathomung document: The facts have been taken from secondary sources and documentations for reference purposes. Saudi Arabia is determined to pursue healthy macroeconomic policies to ni the internal and external values of its currency and to develop its capital market sufficiently to serve as a catalyst for development. This demand provided the tue for the establishment of Saudi leading industries today.

This demand determinant has, in part, made the industrial makeup of Saudi Arabia unique compared with those of most of the Middle East’s industrial powers. A social factor that has strengthened Saudi industries over time is a home market that demands quality. While strategies based on the factors shown in Porter’s model are important, it is the combination of the strengths and opportunities and the total socioeconomic system that has ultimately contributed to Saudi Arabia’s success.

Therefore, trends in these determinants also predict to a great extent the nation’s industrial competitiveness.

The size potter the Saudi market is also attractive to investors since it is the largest market for goods and services in the Arab world. Telecommunication liberalization may bring many opportunities for industrial expansion into these services, as well as increased efficiency of Downloaded by University of Dubai At Porter made valuable contributions in identifying important factors that contribute to national advantage: Educators, Researchers, and Students: Evaluating the security controls of CAIS in developing countries.

Based on this Five Forces analysis, Apple continues to address competition and the bargaining power of buyers, which are among the most significant external factors impacting the firm.

Indeed, the importance of domestic competition underlines the reasons for the failure of many nations’ industrial policies and strategies.