Porters five forces Essay

Threat of New Entry Obesity is a big problem in the get together States which is becoming a government and healthc ar issue. burden Watchers has played a role in the instruction of a new national awareness of healthful eating, lifestyles changes, and weight control. Weight Watchers International had experienced it biggest threat mostly because of new competition and changes in technology. When the over the counter weightless drug launched it had a drastic effect on their market. Switching Cost Weight Watchers dropped their prices not because they focused on consumers, still because they are more focus on the health insurance business. Employers are giving incentives to employees to use weight watchers for health insurance purposes. Threat of completes In the weight loss industry there are lots of substitutes but Weight Watcher appears to be in the business of helping people lease lifestyle changes.However, of cut through they want to make a profit. Weight Watchers is innovat ive and this is the reason they have been around for 50 years. Weight Watchers realizes the growth in health insurance and realizes their strength is their brand and reputation. Bargaining ply of Suppliers Presence of Substitute Inputs Weight Watchers has the upper hand in regards to suppliers. They can turn to any alternative especially universe an industry leader. Bargaining Power of Customers Brand Identify-Weight Watchers has a great brand identity being unitary of the leading diet plans and having 1.4 active members. Weight Watcher uses many celebrities to market their brand to consumers. Rivalry among live Competitors This force could be a big problem since new workout plans and diet products are unceasingly popping up on the market. Some diet plans are even using Weight Watchers formula for counting points and creating calculators.1. Threat of new entrance3. Bargaining Power of Suppliers5. Rivalry among Existing Competitors2. Threat of Substitutes4. Bargaining Power of CustomersWeight Watchers has a great thing going and will be around for years to rise up unless someone makes that magic pill to have the fat shed off you overnight. It seems as if the 5 Forces of competitory Strategy is really working forthem. It also seems as if Weight Watchers understands its industry and where the industry is heading. They found themselves in the position to create a profitable company without totally relying on consumers.Internal forcesThe strongest part or so the weight watchers program is the community and employee morale that comes along with the product. The program consist of two elements that really make the culture thrive. First off is the programs that it offers such as plans and dietary supplements. Second is the community and group have got that really makes it hard to contest with. With all the human planning and preparation this is the key to internal advantage in the business market.External forcesStrategy Development. (n.d.). Retrieved Septe mber 30, 2014, from http//strategyatheinz.blogspot.com/2013/05/shaping-weight-loss-with-five-forces-of_30.html