Starbucks Coffee addresses the strong force of competitive rivalry in the five forces analysis model, this force is about the mutual influence of competitive rivals. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay Large number of companies. Low switching costs. Variety of companies. The company faces a large number of competitors that differ in size, specialty, and strategies. For example, Starbucks faces the competitive strength of McDonald's and Dunkin Donuts, as well as other coffee companies. The strong competitive strength is also due to low switching costs, which means it is easy for customers to switch from Starbucks to other brands. Therefore, based on this component of the Five Forces competition, competition should be among Starbucks Coffee's top priorities. Bargaining Power of Starbucks Coffee: Strength is based on the effect that individual and group customers have on business. In the case of Starbucks Coffee, the following external factors contribute to the strong bargaining power of customers: Low switching costs. Small size of individual buyers (weak force) Substitute availability (strong force) Bargaining power of buyers is one of the most significant forces influencing the business of Starbucks Coffee. The customer can easily switch from Starbucks to other brands because it is convenient to do so. Customer can also stay away from Starbucks if they want because there are many substitutes like instant drinks and coffee shop drinks, Subway drinks, Costa Coffee and other coffee brands. These strong factors overshadow the fact that individual purchases are small compared to Starbucks Coffee's revenues. As the top priority of Starbucks Coffee should be customer bargaining power analysis model. Bargaining Power of Suppliers of Starbucks Coffee: In Starbucks Coffee the following external factors contribute to the weak strength or bargaining power of suppliers. High variety of suppliers (weak strength) moderate size of individual suppliers (moderate strength) large overall offering (weak strength) bargaining power of suppliers. suppliers does not have much impact on Starbucks. The broad overall offering reduces the effect of any single supplier or company. Starbucks also has a policy of diversifying its supply chain. This policy reduces the influence of suppliers on the company even though each supplier is a moderate size compared to Starbucks' supply chain. According to porter forces analysis model, Starbucks Coffee does not need to prioritize suppliers' concerns or demand. Threat of Substitutes for Starbucks Products;The treatment of substitute strength concerns the impact of substitute products or services. At Starbucks the following external factors contribute to increasing the threat of substitution: Availability of substitutes. low cost of substitutes. low switching cost. The Porter Five strength analysis model indicates that substitutes have a strong potential to negatively impact Starbucks Coffee's business. Starbucks customers can easily switch to substitutes because there are many substitutes such as drinks from restaurants, bottled drinks and other products from grocery stores. As Starbucks has partnered with several companies to extend its brand into new categories "For example it has joined with PepsiCo to incorporate Starbucks branding on bottled Frappuccino drinks. Branded in a joint venture with Brayers, Starbucks ice cream is now the leading brand of coffee ice cream. Also, while he is trying to squeeze more business come on.