Editing Porter's five forces analysis (section)

===  Competitive rivalry ===
Competitive rivalry is a measure of the extent of competition among existing firms. Price cuts, increased advertising expenditures, or investing in service/product enhancements and innovation are all examples of competitive moves that might limit profitability and lead to competitive moves. For most industries, the intensity of competitive rivalry is the biggest determinant of the competitiveness of the industry. Understanding industry rivals is vital to successfully marketing a product. Positioning depends on how the public perceives a product and distinguishes it from that of competitors. An organization must be aware of its competitors' marketing strategies and pricing and also be reactive to any changes made. Rivalry among competitors tends to be cutthroat and industry profitability is low while having the potential factors below:

Potential factors:
* [[Competitive advantage]] through [[innovation]]
* Competition between online and offline organizations
* Level of [[advertising]] expense
* Powerful competitive strategy which could potentially be realized by adhering to Porter's work on low cost versus differentiation.
* Firm [[concentration ratio]]