
Mrinal Ghosh Business Consultant, India

Measuring / Calculating the Five Forces of Porter?
Hi, can somebody help me how to calculate the coefficients for each of the five forces. I understand all of the 5 forces might not be having the same weight. Also it would differ by industry.
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Agustin Cosso Leskovar Student (University), Argentina


Calculating the Forces
In order for this analysis tool to be effective, you may want to consider a few aspects:
A) In order to solve any optimization problem you need to apply the right formula m(x;y;z;... n)
B) This method stands for a nonnumeric type of analysis. It is very hard to determine, whether a coefficient would be effective or not. Yet, a few of them may be calculated. I'm not quite certain about them, but for example:
Competitors: it would be interesting to know how many competitors exist in the whole market. By knowing this amount, you may decide which style of scale economy you need. If there are only 2 rivals in the same market, you may choose a Stackelberg model, by simply defining your price as a leader, hence: P = a  b [q1+r2(q1)]; where r2 stands for the reaction.



Anil Kshatriya Professor, India


Calculating Porter's 5 Forces
Porter's five force model is more of a tool to und...



Mrinal Ghosh Business Consultant, India


@ Anil Kshatriya
Hi Anil, why do you feel that they are ordinal in ...



Anil Kshatriya Professor, India


@Mrinal
Why not. It can be extended to logic of the GE Mat...



Mrinal Ghosh Business Consultant, India


Sub Parameters
With due regards, though it is a mixed game, I gue...



Jagdish B Acharya Consultant, India


Hurdles Too Strong to Calculate
Though we like the idea of calculation, everything...



Agustin Cosso Leskovar Student (University), Argentina


Sub Parameters
Mrinal, I have made some research in my math books...



Mrinal Ghosh Business Consultant, India


Historical Data
Yes, also we can have a look at the historical dat...



H D SHARMA Professor, India


Calculating the Magnitude of the Five Forces Quasi Quantitively
Hi the group! The idea is fascinating but we must ...



Agustin Cosso Leskovar Student (University), Argentina


GarmanKohlgane
HD Sharma, with the GK formula you shouldn't have ...



Umesh Project Manager, Sultanate of Oman


Many Variables
When variables are many, analysis becomes complica...



Hans Joergen Pedersen, Denmark


The Model is Nonnumerical in Nature
Until I come across a very advanced micro economet...



JOSE DELGADO ACCOUNTANT, Mexico


Five Fources Measures
In my personal point of view, I think it should be...



Parvez Manager, Mauritius


Calulating Forces by Social Engineering
I believe these statistical tools are important bu...




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