Choose an aspect of the information technology (IT) industry that has not been previously used as an example in this course. Use Porter’s five forces to make a qualitative evaluation of the industry’s strategic position. Be sure to explain each of the five forces as well as explain how they relate to your chosen industry.
Selected Industry: Cloud Services
Remember to include the following elements (Porter’s five forces):
* Threat of new entrants: Are new entrants being attracted to the market, and are there barriers to entry in the industry?
* Threat of substitute products or services: Are there other products that could be alternatives to offerings in the chosen industry?
* Bargaining power of customers: What degree of bargaining power do the buyers have in terms of putting the industry under pressure to provide more products or less cost?
* Bargaining power of suppliers: What is the importance of raw materials, components, labor, and services that are required for the industry, and are there substitutes for those inputs? Discuss the possibility of switching suppliers, if necessary.
* Intensity of competitive rivalry: Does the industry have a sustainable competitive advantage?
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