Competitive Forces
We take the 5 porter competitive forces to analize this audit.
Threat of new entrants
The threat of new entrants is currently not a big issue for our company since the model we are presenting is a model based on current technological factors. We are not first entrants to the industru, but we are the first to prupose a service that can be present it in a short term period. In relation to the future it can be a more problematic issue since it just a metter of time to have new companies starting to use technological forces to their strategie.
The last advantage we still have is the fact that we can still employ the best in the field of babysitting and house cleaning services.
Threat of substitute products or services
Substutite services are still early to appear in Colombia. Acourding to our potential clients, they rather have a rigurous service were maids have to go through a psicological, fisical and a competence test were we can define werther its an eligeble persona for the job or not. Having the posibility to ask for someone trustingly just because you are using the services of our comapny, is a huge advantage over the services you can get nowadays in this regard.
To substitute our service for something better or cheaper is going to be quite a challenge, since we are already targeting the best service at the best prices. Now if a competitor takes us on, it would need to make changes that are not really meaningful such as using differnet kinds of personel or a different kind of plataform that can make a more agile process.
Bargaining power of customers
This is probably the hardest issue to confront in our comapny. Since Colombia has a long history of hiring informaly, some potential customers might choose to hire informaly and negotiate a price with a person rather that paying a a company to do that job for them. Unfurtonetly this society would first choose a way to save on a little bit of money over having an easy and secure service where they can mostly skip the part of interviewing the person.
Since exploting personel is done with so much naturality, most would think that our comapny is doing the same to achieve its goal, but contrary to that kind of idea, we want to hjave a stable personel that would rather stay with the company instead of looking for work on thier own.
Bargaining power of suppliers
Since we dont manage a product that work with our service, we dont depend on suppliers of products. As for the supply of personel, we are our own head hunters. The idea of not letting a third party enter this business is that we are looking forward to knowing who we are working with and how thier job is going to affect our relations with the customers.
As for the supply of personel in the country, we find in several of the other external factors that we have an important chance to gather the people we want in the area we need.
Intensity of competitive rivalry
In a country like ours, it is easy to start an agresive competitive strategie when talking about this service. Every external factor affecing our comany is also affecting anyone that is enternig this industry, meaning that they can use our information to build upon. It is imperative to think that even if our resourse is finite, people for hire are still in a large enough numbers to start a competition.
Currently the market only counts with headhunters that work with limited amount of people and dont always have standards to offer a client.