Since the establishment of the five force model, a sixth factor, known as “Impact of Complementors” has been recognized to affect industry profitability. A Complementor is an industry competitor who provides complementary, rather than competitive, services or products to another competitor within the same industry. There are industry specific factors that will determine the importance of Complementors within that industry.
By applying this five force model to an analysis of the U.S. Commercial Airline Industry, I will demonstrate how this tool is used in practice. Drawing upon the article “A Five-Force-Plus Complementors-Analysis of the U.S. Airline Industry” taken from the course text. As the article states, the Department of Transportation categorizes the airline industry into four major groups or types: Cargo, Regional, National and International. The article focused on analysis of the national airlines with sales of at least $1 billion annually. National airlines will also be the focus of the