An Insight into Market competitiveness of Bean to Bar Chocolate in Coimbatore City – Application of Porter’s Five Forces Model

Author: Arun Viswanathan S.K., Mahendran, K., Moghana Lavanya S. and Sowmiyaa, S.

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Abstract

Understanding the external business environment is necessary for any entrepreneur to invest in a market. Analysis of market competitiveness provides insights into various factors involved in major decision making efforts. The current paper has attempted the same with the help of established tools and techniques. SWOT analysis and Porters five forces model are the commonly used tools for analyzing business and market based planning. The bean to bar chocolate is one of the fastest growing segments in food industry and effective marketing strategies would help attract investments through the entry of new players and also aid the growth of the exiting companies in the market. This study aims at understanding the competitiveness of bean to bar segment using the five key factors of Porter’s model by evaluating the competitive advantage and market profitability of bean to bar chocolate brands in Coimbatore City. The results of the study would serve as an eye-opener for budding entrepreneurs

Keywords

Five forces model, bean to bar chocolates, chocolates, business environment, market competitiveness, strategy, entrepreneurs

Conclusion

The Porters model of analysis of the five competitive forces led to early identification of the market trends for the bean to bar chocolate industry in Coimbatore city. The analysis can be used to exploit the emerging opportunity in the confectionary segment. Bargaining power of buyers of bean to bar chocolates as well as the suppliers in Coimbatore city was found to be low to moderate. The competitive rivalry between the existing brands in Coimbatore is moderate to high. The threat of substitute products was also found to be moderate to high. While all the five forces exerted pressure on the industry to an extent, competitive rivalry between exist-ing brands, threat of new entrants and substitutes were the major factors deciding the competitiveness of bean to bar chocolate industry in Coimbatore.

References

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How to cite this article

Arun Viswanathan, S.K., Mahendran, K., Moghana Lavanya, S. and Sowmiyaa, S. (2021). An Insight into Market competitiveness of Bean to Bar Chocolate in Coimbatore City – Application of Porter’s Five Forces Model. Biological Forum – An Interna