TED Talks business

access any TED Talks business related video and one paragraph comment as it relates to Porter’s five force model.

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Producing more than one product means having different suppliers of raw materials reducing the supplier control over the business. When suppliers are in control, they affect the profitability of the company since the company can suffer losses if it decides to switch from one supplier to another. Therefore, the video relates to the five porters model which encourages the elimination of supplier power. Diversifying the products also helps in eliminating the customer power which may also contribute to the company not lasting for 100 years. According to porters five forces, customers have the ability to reduce the prices of products. The prices can be affected by the number of buyers, how significant each client is, and their willingness to switch to another company. The smaller the customer base, the more power it has to affect the prices and affect the sustainability of the company.

[325 Words]

TED Talks business
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