Immediate rivals, potential entrants, customers, suppliers and substitute products are the five aspects that are used to evaluate competition.
<u>Explanation</u>:
Porter's Five Forces is a framework or tool for analyzing the competitive environment of the company. The profit of the company is influenced by company's competitors, potential new market entrants, suppliers, customers and substitute products.
Michael Eugene Porter- a famous economist of America postulated Porter’s Five Forces. This tool helps in determining the competition intense of the company. The position of the company can be affected with the new entry of rivals in the same market. The company should be able to possess strong and durable barriers to withhold its position.
Production
The production is all mutation process governed by man, which seeks to create a product, with the help of production factors that are the resources used to create goods, the main factors of production are: capital, work and the earth. It can also be called production not only to the development of a new product, if not, to evolve or modify an old one, that is to say, giving a new use to an artifact is part of producing some element. The main function of the production is the creation of satisfiers to calm our needs.
1.- The term agricultural producer is a term used as a qualifying adjective to designate a type of economic activity that is based on the production of mainly food from farming and livestock.
2.- Dairy producers: The dairy industry is a sector of the industry whose raw material is milk from animals (usually cows).
