Menu

International Rivers Network And The Bujagali Dam Project B Case Porter’s Five Forces Analysis

CASE HELP

Home >> Harvard >> International Rivers Network And The Bujagali Dam Project B >> Porters Analysis

International Rivers Network And The Bujagali Dam Project B Case Study Solution

Bargaining Power of Supplier:

The distributor in the Taiwanese International Rivers Network And The Bujagali Dam Project B industry has a low bargaining power despite the fact that the sector has prominence of 3 players including Powerchip, Nanya and ProMOS. International Rivers Network And The Bujagali Dam Project B producers are plain initial devices suppliers in calculated alliances with foreign players in exchange for innovation. The second factor for a reduced negotiating power is the truth that there is excess supply of International Rivers Network And The Bujagali Dam Project B systems due to the huge range production of these dominant sector gamers which has decreased the cost each as well as boosted the negotiating power of the purchaser.

Threat of Substitutes & Degree of Rivalry:

The threat of substitutes on the market is high given the reality that Taiwanese suppliers take on market share with international gamers like Intel, Motorola, IBM, Hitachi, NEC, Toshiba, Samsung and also Fujitsu. This suggests that the marketplace has a high degree of competition where suppliers that have design and also advancement capacities in addition to making knowledge may have the ability to have a higher bargaining power over the market.

Bargaining Power of Buyer:

The market is controlled by gamers like Micron, Elpida, Samsung and also Hynix which even more decrease the purchasing power of Taiwanese OEMs. The truth that these critical gamers do not allow the Taiwanese OEMs to have accessibility to technology indicates that they have a higher negotiating power relatively.

Threat of Entry:

Threats of entrance in the International Rivers Network And The Bujagali Dam Project B production market are reduced owing to the fact that structure wafer fabs and also buying equipment is extremely expensive.For simply 30,000 units a month the resources requirements can range from $ 500 million to $2.5 billion depending upon the size of the units. In addition to this, the manufacturing needed to be in the current innovation as well as there for brand-new players would not be able to compete with dominant International Rivers Network And The Bujagali Dam Project B OEMs (original equipment producers) in Taiwan which had the ability to enjoy economic climates of range. The current market had a demand-supply imbalance and so surplus was already making it tough to allow brand-new players to appreciate high margins.

Firm Strategy:

Given that International Rivers Network And The Bujagali Dam Project B manufacturing makes use of basic procedures and also basic and also specialized International Rivers Network And The Bujagali Dam Project B are the only 2 categories of International Rivers Network And The Bujagali Dam Project B being produced, the processes can easily make use of mass manufacturing. While this has actually led to accessibility of modern technology as well as range, there has actually been disequilibrium in the International Rivers Network And The Bujagali Dam Project B industry.

Threats & Opportunities in the External Setting

According to the internal and also external audits, opportunities such as strategicalliances with innovation partners or growth via merger/ purchase can be checked out by TMC. Along with this, an action in the direction of mobile memory is likewise an opportunity for TMC specifically as this is a particular niche market. Dangers can be seen in the form of over reliance on foreign players for modern technology as well as competitors from the United States and Japanese International Rivers Network And The Bujagali Dam Project B suppliers.

Porter’s Five Forces Analysis