Advantages Of Porter Diamond Model

Firm structure and rivalry: -the diamond model explained how companies organised and manage themselves. It points out their mission and the type of competitors in that particular market, and the way in which firm are established and the ways goals are set and managed is critical to success in international markets. Pre A Manger objective is to produce healthy and organic food for everyone at an affordable price.

Factor conditions: - Factor conditions are the first element of the Porter Diamond model. This is the type of resources that may be or may not be in that home country it could be human resources, physical resources, knowledge resources, capital resources and other facilities. At Pre A Manger they have also taken human resource seriously

Pret A Manger product is very highly in demand in any country they operate due to the fact that the produce healthier and organic meals for their customer have given an edge from their competitors with the same products.

Government: - The government can also play a significant role in the international competitiveness of a business. In addition, it can influence each of the five other forces in the Porter Diamond model. The government of a country has the ability to either promote or stop export. It can influence the supply conditions of key production factors.

Pret can also negotiate with the government of a country if there are any conditions that affect their products in that region.

Chance: - The final element in the Porter Diamond model is a chance. Chance refers to random events that are beyond the control of the company. Looking at the international competitiveness, they can be very important: if a firm decided to quite a market, it may be advantages for some and disadvantages for other business. Some companies may gain competitive positions, while others may not be that

It is a way to broaden the horizon: - when firm or companies are in multiple countries around the world, this can strengthening by then different cultures that they are exposed to on a daily basis. We all have something to teach each one another if we willing to listen.

2. Increase the visibility of the business brand: - When a company or business market is able to expand, the visibilities of that brand expands along with it. A growing international presence will, therefore, can make it easier in the future to continue expansion opportunities this is because of the increase brand recognition. This will helps a business to be able to employ staff locally.

3. Sales will definitely increase when more customer are introduced to business: - it is rather simple to recruit an international sale force these days. From freelancers to distributorship to the web, marketing can happen at local level better than ever before in almost every part of the world.

4. There is basically less overall competition: - though it seems like it would be the opposite of this, the competition will be less for a business or company that able to expand internationally. This is because any good product that sells well, will definitely deflate local level competition. (Gaille, B.