Porter’s five force model analyses uses to evaluates the competitive rivalry, new entrants treats, substitutes treats, bargaining power of buyer or customers, and bargaining power of supplier position of Campbell’s. The case study indicates that several players available in the food industry such as General Mills, Heinz, Nestle and Mondelez, so that Campbell’s faced high competitive rivalry in the industry. Moreover, high competitive rivalry position in the market is impacted the business and performance of Campbell’s. The company would use the large product range strategy and different taste soup products that may give it competitive advantage in the high competitive market. In addition, there are several major players already available in the food industry that reduces the treats of new entrants companies in the market. Moreover, treat of substitutes for Campbell is low because few substitutes of soup products are available in the market such as dairy products, juice products and ice cream products that is not able to replace the demand of soup. The threat of substitutes is low for Campbell because it provides the large range of soup products in the market.
The bargaining power of supplier is low because major companies brand image and many suppliers available in the industry those deliver products of food companies. The brand image and relationship with suppliers have that may give Campbell a competitive advantage. In addition, bargaining power of customers is higher due to competition enhance in the food industry, so Campbell would focus on reduce its product prices and deliver quality services of the customers (Faulkner & Campbell, 2006). The internal factors are large range of products, different flavour or taste soup products, brand name, and deliver quality services may have give Campbell a competitive advantage.