FIVE FORCES INDICATOR SHEET 1. Assess indicators Yes NO* 2. Overall Assessment of Each FORCE (Strong, Weak, or Moderate) THREAT OF NEW ENTRANTS 1 Can new entrants compete effectively without having to build scale? 2 Have buyers shown a low level of loyalty to existing producers? 3 Are the costs of entering and competing relatively low? 4 Can new entrants easily get distribution and access to buyers? 5 Would buyers have low/no costs to switch to new entrants? 6 Does the industry seem to be growing and attractive to new entrants? THREAT OF SUBSTITUTES 7 Are substitutes readily available and affordable? 8 Do substitutes offer a similar or superior cost/benefit solution? 9 Can buyers easily switch to and learn to use substitutes? 10 Have buyers shown a willingness to switch to substitutes? BARGAINING POWER OF BUYERS 11 Can buyers easily switch between producers? 12 Have buyers shown a low level of loyalty to individual producers? 13 Are there only a few large-volume buyers? 14 Are purchases relatively large, infrequent, and important? 15 Are producers' goods pretty much the same (i.e. commodity-like)? BARGAINING POWER OF SUPPLIERS 16 Are most suppliers' goods unique and differentiated? 17 Is it difficult or costly for producers to switch suppliers? 18 Are there a limited number of suppliers or is supply limited? 19 Does the supply account for a major portion of producer costs? RIVALRY AMONG PRODUCERS 20 Are there many rivals of about the same size and power? 21 Is the industry declining or experiencing slow growth? 22 Is it easy for buyers to switch between producers? 23 Have buyers shown a low level of loyalty to individual producers? 24 Is it difficult for producers to adjust production if demand changes? 25 Are producers' goods pretty much the same (i.e. commodity-like)? * Indicator questions are worded such that a "NO" indicates a weak force, i.e. that the force does not have a substantial negative influence on industry profitability. SO-a "YES" is an indicator of a STRONG Force.