Porter’s Five-Force Qualitative Investment Framework by James Chin

In 1980, Michael E. Porter’s book, Competitive Strategy: Techniques for Analyzing Industries and Competitors, set the stage for analyst and investors to analyse a company’s competitive stance in its industry.  Porter’s five-force qualitative framework is frequently used to measure competition intensity, attractiveness and profitability of an industry or market.

Besides being used as a strategic business guide for top management to improve a company’s competitive advantage, investment analyst and investors may incorporate Porter’s five forces to make an informed judgement in their investment decision process.

This qualitative analysis introduced by Michael E. Porter allows analyst and investors to draw conclusions about a company’s future performance that are not immediately apparent using quantitative analysis. Examples of various companies in different industries will be covered in this webinar to understand the potential of adopting Porter’s five forces to unlock the true value of a company over the long-term.

Learning Outcome