Porter's Five Forces Analysis Of Symphony
8. Porter’s Five Forces Analysis 1) Industry Rivalry
This element is especially significant for Symphony as other branded air cooler makers such as Kenstar, Bajaj, Khaitan, Orient, Maharaja, etc are engaged in a fierce battle to catch up with Symphony. Indeed Symphony cannot take its market leading position for granted and needs to continuously innovate to stay ahead of the curve.
Even outside the organized segment, the unorganized domestic and Chinese players operate in environment of low margins and high competition. Symphony faces the equivalent of 'cola wars ' (the legendry fight for dominance between Coke and Pepsi) in emerging markets like India. Symphony has to contend and compete with a multitude of players- especially the cheaper domestic players.
This together with the fact that Symphony only deals in a single business vertical, namely air coolers, has made the impact of this dimension especially critical for Symphony. 2) Threat of new entrants
With the myths of air cooler market being saturated dispelled by the success of Symphony, many new players seem eager to have a share of the pie now. The ever rising temperatures as a result of the global warming has actually made coolers a necessity than a luxury. This together with the steadily increasing incomes of the people in developing countries have created a large pool of people who eagerly want to upgrade from a fan but cannot afford to buy an air-conditioner. Also, the increasing income levels of middle
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