Porter's Five Forces analysis is a powerful framework that helps you assess the competitive forces within an industry. It provides a structured approach to understanding the dynamics and attractiveness of the market in which your product operates. Ideally, your product will be moving into an uncompetitive market.

Here’s a breakdown of competitive forces that might affect your product:

• Threat of New Entrants: Assess the barriers to entry for new competitors in your industry. Consider factors such as economies of scale, capital requirements, distribution channels, brand loyalty, and government regulations. Evaluate how easy or difficult it would be for new entrants to compete with your product.
• Bargaining Power of Suppliers: Evaluate the power and influence of suppliers in your industry. Consider factors such as the number of suppliers, uniqueness of their products or services, switching costs, and availability of substitutes. Analyze how suppliers can impact your business by exerting pressure on pricing, quality, or terms.
• Bargaining Power of Buyers: Assess the power and influence of your customers or buyers. Consider factors such as the number of buyers, concentration of buyers, price sensitivity, and availability of alternatives. Understand how buyers can impact your business by negotiating prices, demanding higher quality, or switching to competitors.
• Threat of Substitute Products or Services: Analyze the availability and attractiveness of substitute products or services that can fulfill the same customer needs. Consider factors such as price-performance trade-offs, customer loyalty, and switching costs. Evaluate how easily customers can switch to alternatives and the impact it would have on your product.
• Intensity of Competitive Rivalry: Assess the level of competition within your industry. Consider factors such as the number of competitors, market share distribution, industry growth rate, and product differentiation. Analyze how competitive rivalry affects pricing, innovation, marketing efforts, and customer acquisition.

Porter’s five forces are also one of the tools from business management consulting toolkit. They will broaden your horizon when thinking about the product and make your product claims more immersed in business than simple UX best practices.

You’ll understand who else is trying to make money doing the same or similar things as you do. Speaking the “business speak” is the way to have more sway with your client.