Honda Rivalry Among Competitors: Strong Force. Competition in the automotive industry is very high, as there are many companies in this industry catering to many varieties of customers, so each company tries to do its best to make more profits than the others, making its product more attractive and salable on the market. .Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay Threats of Substitutes: Weak Force. There is no great risk of substitution in the automotive sector in terms of utility, independence and efficiency, even though there is a wide variety of means of transport, such as bicycles, subways, buses, trains and planes. They might make our lives easier, but they might be less convenient than cars. The price of fuel influences the consumer's decision to purchase vehicles, along with car maintenance and insurance, but the automobile will continue to be important in our personal and daily lives. Barriers to entry: weak force. It is not easy for a competitor to easily enter the automotive industry due to the loyalty the consumer has towards the brand. It is important for recognized companies to have barriers to entry to protect themselves, as some companies are entering foreign markets by purchasing an existing company or merging with it and making a large profit. Bargaining Power of Buyers: Strong Force Consumers have many choices to choose from a large number of brands available, but the factors that push the consumer to buy a certain brand from another are: appearance, quality, price, design. Consumers always want something new and good looking with the latest technologies. The car must be efficient, fuel-efficient and smooth-running. Bargaining Power of Suppliers: Weak Force There are many suppliers in the automotive industry, and there will be more suppliers fighting to be the one with whom the manufacturer buys their parts in large quantities. If the manufacturer chooses to switch suppliers, this will deal a devastating blow to suppliers. Therefore producers can change suppliers freely, suppliers have little power. Competitive rivalry between Toyota: strong force. Competition in the automotive industry is very high, as there are many companies in this industry catering to many varieties of customers, so each company tries to do its best to make more profits than the others, making its product more attractive and salable on the market. Bargaining power of buyers: strong force. Customers can switch from Toyota to other companies at no additional cost. This change normally happens when a customer buys a brand new car. Furthermore, Toyota customers can choose the best solution quite easily because they have access to precise information, such as product information from company websites. There are substitutes available, but cars from companies like Toyota are still better in terms of practicality, as they are better known. Toyota must ensure that its products match the preferences of its target customers. Bargaining power of suppliers: weak force. There are many suppliers in the automotive industry and there will be more suppliers fighting to be the one the manufacturer buys their parts from in large quantities. If the manufacturer chooses to switch suppliers, this will deal a devastating blow to suppliers. Therefore producers can freely change suppliers, suppliers have little power. The Threat of Replacement: Moderate Force. It is quite easy for customers to switch from Toyota tosubstitutes. Substitutes are public transport, bicycles and other means of transport. However, these substitutes are only moderately available. In some areas it is not possible to use substitutes, such as in some rural areas where public transport is not available. These substitutes are less convenient than using products from companies like Toyota. Therefore Toyota makes its products more accessible, convenient and affordable. The Threat of New Entries (Weak Force) The high costs of creating and expanding a new venture in the industry already represent barriers to entry. These barriers weaken new competitors that target companies like Toyota. Therefore, there is not much to worry about new entrants in the automotive industry. Nissan Industrial Rivalry: Indicates the intensity of competition between existing competitors in the market. The intensity of the rivalry depends on the number of competitors and their abilities. Every company is struggling to maintain its power through competition. The rivalry in the industry for Nissan is high as customers have a wide choice of cars in the market such as luxury cars, sports cars and many more. There are numerous equal or small competitors for Nissan such as Honda, Toyota and many others. Customer switching costs are also low where the sector is growing. In the automotive industry, barriers to exit are high, so rivals stay and compete. These situations are the reason for price wars, advertising wars and product differentiation. The threat of new entries: is based on barriers to entry and exit. It is in a company's best interest to create barriers to prevent competitors from entering the market. These are new businesses or businesses that wish to diversify. The arrival of new operators also depends on the size of the market. Nissan has a low threat of new entries where the automotive industry has high barriers to entry and low barriers to exit. For any Nissan competitor, there are significant barriers to entry, such as high capital requirements to start the business, difficulty in sourcing suppliers to build various components, high customer switching costs, and various differentiated products. The threat of substitution: This means how easily customers can switch to the competitor's product. Substitute products can be considered an alternative to the offer on the market. So substitutes are a threat to your business. The risk of Nissan's substitute products is moderate. Nissan definitely works to build a brand and there are Nissan loyalists, but there are many substitutes on the market for customers like Toyota, Honda, Hyundai and others, as well as other modes of transportation. Nissan customers can easily find products or services at the same or lower price but with different technologies, brands and qualities. The different technologies, brand and quality of Nissan products keep the risk of substitution moderate. Supplier Bargaining Power: This means how strong a seller's position is and how much control the supplier has over increasing the price of supplies. Nissan has limited bargaining power as a supplier. Like all automakers, Nissan has some switching costs and transaction costs for switching suppliers, so suppliers probably have some negotiating power, but it's probably limited where Nissan has a very limited number of suppliers worldwide. For example, Nissan is a major customer for SynQuest, where the contract with SynQuest involves planning solutions with Penske Logistics providing logistics design services and IBM, a hardware infrastructure offering integrated software and services for.