School of Management, University of St Andrews

Porter’s Five Forces Model

School of Management, University of St Andrews

Value chain model

Upstream A Company’s Own Downstream

Value Chains Value Chain Value Chains

Activities,
Internally Costs, &
Activities, Performed Margins of
Activities, Buyer/User
Costs, & Forward
Costs, & Value
Margins of Channel
Margins Chains
Suppliers Allies &
Strategic
Partners
School of Management, University of St Andrews

Value chain model

Porter, M.E. (1985). Competitive advantage. New York: Free press

School of Management, University of St Andrews

Porter’s Five Forces Model

Figure 1: Perceived price/differentiation matrix for the United Kingdom’s retail clothing market
School of Management, University of St Andrews

Porter’s Five Forces Model

Figure 2: Strategic group map of pricing policy and number of stores within the
United Kingdom’s retail clothing market
School of Management, University of St Andrews

Porter’s Five Forces Model

Figure 3: Strategic group map of pricing policy and breath of product line within
the United Kingdom’s retail clothing market