Porter Five Forces - Warby Parker.docx - Porter\u2019s Five Forces a Power of Buyers When looking into Power of Buyers it is important to understand the

Porter Five Forces - Warby Parker.docx - Porteru2019s Five...

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Porter’s Five Forces a. Power of Buyers When looking into Power of Buyers, it is important to understand the overall impact it has on competition and when analyzing a company. According to the article by the Harvard Business Review Press, powerful buyers will force prices down or demand more value in the product, thus capturing more of the value for themselves (Harvard Business Review Press, pg. 8). It is important to determine the situation of Warby Parker and the power of buyers impacting them. The power of buyers when looking at Warby Parker is at a medium level. Warby Parker prides themselves on high quality customizable frames with a try on at home option as well before purchasing the glasses outright for buyers. This does make them have a unique model for consumers which helps attract and retain consumers. However, there are plenty of segments within the eyewear market (high priced, easily accessible, cheaper models, etc.) that can draw existing customers away from their current segment to a new segment within the market as individual consumers preferences change from age, lifestyle etc. The business model of Warby Parker is a product based selling model and therefore buyers have relatively strong control over seller profit. Buyers (end users) however do not buy eyewear in bulk in relation to Warby Parker’s selling efforts which helps lower the power of the buyers. Warby Parker has the chance as a retailer to influence consumers purchasing decisions through their customization efforts and business model. The power of buyers would not we a worrisome factor with Warby Parker looking into the UK market. b. Power of Suppliers The bargaining power of suppliers when analyzing a company can create a competitive force in any industry by raising prices or reducing the quality of goods sold (Financial Analyst Journal, pg. 39). Factors such as differentiation, switching costs and labor all play into the supplier's power but the eyewear industry does make the situation unique with a global supply chain. Warby Parker
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