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College Up Porter's 5 Forces Analysis

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• Competitive Rivalry: College Up faces intense competition in the marketplace with both online and offline companies. Customers, college students, can buy these products from eBay, amazon, Chegg or local campus bookstores. Although those companies vary in sizes and capabilities, there is a low switching cost to other major players in the industry because most of the provided services and products are similar in benefit in benefit. In this industry, there is a competition over the same customers and products resources; hence there is a high competitive rivalry. • Threat of Substations: Substitute products and services that satisfy the same need are available and that impose a high threat on College Up. Despite the fact that College Up provides …show more content…

College students are well educated about the provided products and services especially the schoolbooks. Therefore, they can easily switch to other provider in case of inconvenient in term of the price and quality. • Suppliers Power: On the other had, the suppliers power range between low and medium power. There is a major number of suppliers in College Up. Basically, anyone that has a product to sell can engage in College Up system. Therefore, There is a low suppliers concentration, compared to the buyers of College Up. Suppliers do not enjoy much power unless they are dealing with high-end item. • Threat of New Entry: The barriers to enter the industry are low. In other words, new business can enter in ease start selling product, especially through online services like College Up, yet it is difficult to gain brand recognition. Additionally, the low capital costs and legal policies are motivating forces to start a business. On April 5, 2015 College Up announced that its database had been hit by a cyber attack resulting in the users accounts being comprised. Hackers broke into College Up’s network and accessed more than 200,000 users’ personal information, including phone numbers and addresses, putting them at a major risk of having their sensitive data

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