IV.+Porter's+Five+Forces+Analysis

=BARGAINING POWER OF SUPPLIERS= Kingpin's suppliers have low bargaining power because specific brands are unimportant to their current business model and supply can be purchased from many different sources since their products would be household essentials like toiletries. While product supply is a central part of Kingpin's service, price points can be negotiated to acceptable levels more easily then with rare or luxury items.

=BARGAINING POWER OF CUSTOMERS= Customers do not have bargaining power because they pay a fixed price for Kingpin's subscription service. Also the structure of the service does not leave room for bargaining as the customer receives automated credit card charges for partaking in it.

=THREAT OF NEW ENTRANTS= There is a high threat of new entrants because Kingpin’s business model is easy to replicate (and is already a common model in the market - see various subscription services like Jewelmint) and new businesses could build on the strengths of the company and provide even more personalized service with the right strategy.

=THREAT OF SUBSTITUTE PRODUCTS= In the current market, threat of substitute products is relatively low. There are not many companies that cater to the niche market and serve the needs of targeted consumers that Kingpin does. While other services do exist, they are not prominent competitors at this time and customers may choose Kingpin due to their specialized service like choice of frequency in delivery cycle.

=COMPETITIVE RIVALRY WITHIN THE INDUSTRY= Currently, Kingpin has minimal competition. While consumers could easily buy the products at numerous retail establishments, the service Kingpin provides is unique. There is competition from other e-businesses, however they do not have as much available customization as Kingpin does in terms of delivery times, and choice of products. The key for this company is building brand awareness and positioning themselves to be a market leader.