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William B. Cannady IIIID: W17001066HCAD 790November 10, 2019Utilizing Porter’s Five Force Model at Meadowbrook Dermatology IntroductionThroughout modern time, our views of improving one’s health and well-being have drastically changed, especially when it pertains to dealing directly with skin therapy. It was once believed that eating well, exercising regularly and getting enough rest was all it took to maintain a healthyskin. Then when people begin to age, they face more physical challenges and develop skin problems such as acne, rashes, warts, and even skin cancers. Through extensive research, expertsdiscovered there were alternative methods to help people achieve longer and satisfying skin. As the Strategy Officer, my role is to quickly establish Meadowbrook Dermatology in Wilmington, NC as one of the best in the business. In doing so, there are some outliers that I want to address before our practice can sustain success. My task it to utilize the Porters Five Forces Model, which is a framework for analyzing a company's competitive environment. The number and power of a company's competitive rivals, potential new market entrants, suppliers, customers, and substitute products influence a company's profitability (Chappelow, 2019). With all the competition around, dermatology is been upcoming market for a while. Since residing on the coast, the market has been booming and more dermatology offices have been opening. I would like to suggest utilizing this model to help our new clinic become successful and exceed expectations.
Porters Five ForcesTo explain this theory more, Porter’s five forces framework (rivalry existing competitors, threat of new entrants, power of suppliers and buyers, substitute products and services) is based on the perception that an organizational strategy should encounter the opportunities and threats in the organizations external setting. A competitive strategy should rest on an understanding of industrystructures and the way they change. Porter argues that the aim of the strategist is to recognize andhandle a competitive environment by directly looking at competitors, or to contemplate a broaderperspective that competes against the organization (Porter, 1979). The market structure, in turn, affects the strategic behavior of organizations; for example, marketsuccess depends on the competitive strategy. Subsequently, the organizational success is indirectly dependent on the market structure (Mohapatra, 2012). With starting any dermatology clinic, there will always be obstacles that can slow us down. My major goal is to face those obstacles head on, to make Meadowbrook Dermatology the best and friendliest clinic in the area.The process of completing this objective, we must conduct extensive research in the area while hiring the proper staff. With a solid core and foundation set in place, we can face the direct competition head on.