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  • Date Submitted: 04/04/2014 03:09 AM
  • Flesch-Kincaid Score: 45.5 
  • Words: 579
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1. Complete a five forces analysis.
1) Bargaining Power of Suppliers
In software area, there are many kinds of organizations that sells software. But, like Intuit, which have high core competencies is scarce. Industry concentration of supplies is lower than other industries. Intuit have high brand reputation in this field. All of these advantages are good for Intuit development.
2) Bargaining Power of Buyers (consumers)
Intuit’ products are monopolies, related substitutes are less. Thus, demand is inelastic. Intuit try to appeal more consumers with many different methods. Intuit spends a significant amount of time and money about 20% of net revenues on consumer research each year. For example, Site Visit and advertising on social media to increase its presence. All of these efforts indicates that the products of Intuit is unparalleled. In addition, the consumer demand is pretty large. Buyers almost have bargaining power.
3) Threat of New Entrants
In current software market, Intuit only have several competitors. But Intuit’s rivals never give up trying to defeat it. In the tax arena the company face stiff competition from traditional tax preparers like H&R Block and Jackson Hewitt. As the software industry shifts to cloud-based services, it becomes easier for tiny startups to undercut established players like Intuit with cheaper financial-management services. And some analysts worry that innovation at too fast a pace could prove distracting.
4) Substitutes
Intuit have two the most popular products, which are QuickBooks and TurboTax. Both of them are monopolies, with the retail market share of more than 90%, according to NPD group, a market research firm. Microsoft has an app called Small Business Accounting, which is similar as these applications. Microsoft wants to use this application to compete with Intuit. However, they failed. So far, the threat of substitutes for Intuit maintain a steady tendency.
5) Rivalry
Intuit develops and sells financial and...

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