Dakota growers pasta Industry analysis and recommendation according to Porter's five forces
Title: Dakota growers pasta Industry analysis and recommendation according to Porter's five forces
Category: /Business & Economy
Details: Words: 2546 | Pages: 9 (approximately 235 words/page)
Dakota growers pasta Industry analysis and recommendation according to Porter's five forces
Category: /Business & Economy
Details: Words: 2546 | Pages: 9 (approximately 235 words/page)
PART: 1
Attractiveness analysis of Durum Milling and Pasta Industry
Rivalry within the industry
Factors to consider:
·Price is an issue for the undifferentiated product. Here the durum milling and pasta industry is of same kind of industry. Because of the price volatility attractiveness goes up for the larger companies and it goes down for the small companies as large companies gain economies of scale, they can still provide a competitive price.
·Number of competitors is
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a significant bargaining power, those are neutralized for DGP (other vertically integrated pasta producers).
From the case, we can say that the total sales of the entire industry are concentrated around few giant companies. This is the reason; attractiveness of the industry varies among small companies and the large vertically integrated companies. For Dakota Growers Pasta, the future is very bright as the demand for pasta is increasing and DGP is expanding all the time.