Discuss Optus' competitive position in the market using Porter's Five Forces ModelThis essay will discuss Optus' competitive position in the market through the analysis of Porter's five forces model. Optus, Australia's second largest telecommunications company, is located in a constantly changing environment, easily illustrated by the Porters model. Introduction to the Porters Five Forces Model The Porters Five Forces model is an analytical tool developed by Michael E. Porter in 1979 while studying at Harvard Business School. . Understanding Ports Five Forces sheds light on an industry's current profitability and develops a framework for making informed calculations to anticipate and influence competition. Porter wanted to create a universal framework that could be used across industries such as automotive and the performing arts. The model has five key elements that highlight the competitive intensity and overall attractiveness of a market. The strongest force(s) determine the profitability of the industry and form the basis of the strategies used by the company. The five components of the model are the degree of rivalry; the threat of new entry; the threat of new substitutes; buyer power and supplier power. Porter describes the five forces as creating an important framework for different industries, such as fierce rivalry and strong purchasing power in the aviation industry, but with relatively benign threat of entry, threat of substitutes, and supplier power . Porter devised the model to expand knowledge of industrial organization. Strengths explain how a business organizes itself to satisfy consumer needs for quantity and quality, while maintaining...... middle of paper ......y.unsw.edu. au/journals.htm?issn=1463-6697&volume=7&issue=6&articleid=1524148&show=html• http://www.emeraldinsight.com.wwwproxy0.library.unsw.edu.au/journals.htm?issn=0951-354X&volume= 7&issue=4&articleid=838531&show=html• http://www.emeraldinsight.com.wwwproxy0.library.unsw.edu.au/journals.htm?issn=1756-1396&volume=1&issue=1&articleid=1748179&show=html• http:// www.emeraldinsight.com.wwwproxy0.library.unsw.edu.au/journals.htm?issn=0258-0543&volume=25&issue=6&articleid=1784747&show=html• http://www.emeraldinsight.com.wwwproxy0.library.unsw. edu.au/journals.htm?issn=0954-7541&volume=8&issue=1&articleid=1658839&show=html• http://www.emeraldinsight.com.wwwproxy0.library.unsw.edu.au/books.htm?issn=1048- 4736&volume=18&chapterid=1784329&show=html• http://www.emeraldinsight.com.wwwproxy0.library.unsw.edu.au/books.htm?issn=1745-3542&volume=4&chapterid=1761553&show=html