By The Restoration HQ desk · · filed under Money & Consolidation
A maturing industry under pressure (Porter's Five Forces, part 2)
Trade press ran a structural analysis of disaster restoration through Porter's Five Forces, framing it as a maturing industry under margin pressure from consolidation, carrier buyer-power, and substitutes.
FORUnderstanding the forces means you can pick a defensible position instead of competing on price like everyone else.
AGAINST"Maturing industry" is consultant-speak for margins are going down and the small guy eats it first.
Consensus vs. contrarianContrarian: five forces says the only durable positions are differentiation (specialty capability) or the pre-loss relationship. Volume-chasing generalists get squeezed from both ends.
Sources R&R, www.randrmagonline.com/articles/92091-a-matu… ()