Bharat EV Motors, an Indian electric vehicle manufacturer, has witnessed intense competition in the EV market. Several new domestic and…

Porter's Five Forces Model, developed by Michael Porter, analyses the competitive forces that determine the attractiveness and profitability of an industry. 1. Threat of New Entrants: The entry of new domestic and international EV manufacturers increases competition and reduces the market share of existing firms like Bharat EV Motors. 2. Bargaining Power of Buyers: Customers have several alternatives and can easily compare prices, quality and features, giving them higher bargaining power and forcing companies to offer better value. 3. Bargaining Power of Suppliers: Limited availability of battery raw materials enables suppliers to increase prices, raising production costs and strengthening their bargaining power. 4. Threat of Substitute Products: Petrol, diesel and hybrid vehicles serve as substitutes. If customers find these alternatives more economical or convenient, demand for electric vehicles may decline. 5. Rivalry among Existing Competitors: Intense competition among existing EV manufacturers through pricing, product innovation, technology and marketing increases competitive rivalry and affects profitability. Thus, Porter's Five Forces help organisations understand the competitive intensity of an industry and formulate strategies to build and sustain a competitive advantage.