Zisco Case Study

Porter’s five force model is a business strategy tool that helps to identify the five competitive forces that analyze the competitive power in a business industry. It acts as planning tool and helps in the business strategy development in the competitive market.
The model comprises of five forces and those are as follow:
• Threat of substitute products
• Threat of new entrants
• Intense rivalry among existing players
• Bargaining power of suppliers
• Bargaining power of Buyers
Threat of substitute products – how easily customers can switch to competitors products or services. The threat is high when customers can find substitute products easily and at a lower cost.
Threat of new entrants – threat of new entry depends upon entry and exit barriers.

The paper analyzes the different issues of ZISco and the causes of these issues. Certain recommendations are made in order to come up with fruitful outcomes while keeping in mind the environmental changes. They are moving from a efficiency focused to value focused organization. It is very challenging to do this as there are a lot of wide gaps and bridges to cross. The strategies are not implemented as effectively as they should be. The company operates in a highly competitive market, and the competitive advantage of leadership is short time. To survive and sustain in the market, the company needs to develop some key strategies and work on core competencies to gain competitive advantage. The quality needs to be improved and they must be able to create or add

The industry has high potential to attract new players in the industry. ZISCo has a competitive advantage of technical leadership and the strategy of value creation. They lack in quality and do not deliver high quality products. Their suppliers are very important and their business is heavily dependent on the delivery time and quality of the material from their supplier. They also need to be competitive in their pricing and to be able to do that they need to deliver quality products. ZISCo should concentrate on accelerating order cycling process to make improvements in internal business perspective performance. They should focus on creating strategies to retain and attract customers and have quality customer support services to have a great customer satisfaction. The bargaining power of suppliers is high as ZISCo has certain contract agreements with limited number of