Editing Porter's five forces analysis (section)

=== Industry growth rate ===
Sometimes bad strategy decisions can be made when a narrow focus is kept on the growth rate of an industry.<ref name=":1" /> While rapid growth in an industry can seem attractive, it can also attract new entrants especially if entry barriers are low and suppliers are powerful.<ref name=":0" /> Furthermore, profitability is not guaranteed if powerful substitutes become available to the customers.

For example, Blockbuster dominated the rental market throughout 1990s. In 1998, [[Reed Hastings]] founded [[Netflix]] and entered the market. Netflix's CEO was famously laughed out of the room.<ref>{{Cite news|last=Levin|first=Sam|date=2019-09-14|title=Netflix co-founder: 'Blockbuster laughed at us … Now there's one left'|language=en-GB|work=The Guardian|url=https://www.theguardian.com/media/2019/sep/14/netflix-marc-randolph-founder-blockbuster|access-date=2020-11-08|issn=0261-3077}}</ref> While Blockbuster was thriving and expanding rapidly, its key pitfall was ignoring its competitors and focusing on its growth in the industry.