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Porter’s 5 Forces analysis is used as a framework for industry analysis as well as it is used in the development of business strategy relative to the competitors of the firm.

Internet and Computer Software industries are attractive industries. Many companies are competing with each other in Internet and Computer software industry. However in order to be a viable force in either industry one must be innovative and should have resources. This does reduces the threat of the new entrants; however it does allow companies in either industry to merge with each other.

Supplier Power

Currently Google is maintaining strong market dominance. This dominance has led to low suppliers bargaining power. Google’s ad system is a reliable source of income. Because of this ad system both the advertisers and the receivers are Google clients. This means that as long as Google is maintaining its market dominance with the search product, supplier bargaining power will remain low. Secondly the Android phone system has been selling with great success for all mobile phone companies. Suppliers of these items want to maintain a good relationship with Google as well. These lead suppliers to somewhat powerless position.

Threat of New Entry

Google Inc is facing a low risk of potential new entrants. The entry barriers are quite high and it will take a substantial starting capital to build a startup network infrastructure to compete with all Google’s online services and products. The current competitors have thousand of servers deployed in locations all over the world they have accumulated many years of worth of data about user preferences. A new entrant would need to provide better search results at very fast speed to compete in this highly competitive world. They would need an excellent technology and people to maintain and upgrade services and products that will help them in competing with Google’s online services and different products. However if the potential new entrants is focusing on one product of the services offered by Google, then this could really create some kind of problem to the Google Inc. Since Google Inc has to look for different products and services and had to divide the skills and efforts. But the new entrant has to look for the only product and work on improving it. BY focusing all of their attention on one product, they could potentially develop a single better product than one of Google's if they have the talent and information necessary.

Buyer Power

In internet and Computer software industries the power of buyers is usually high. There are many competitors that offer almost similar products and services. While many of Googl本论文由英语论文网提供整理，提供论文代写，英语论文代写，代写论文，代写英语论文，代写留学生论文，代写英文论文，留学生论文代写相关核心关键词搜索。