Nic Case Palestine

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[pic] [pic] COLLEGE OF HIGHER EDUCATION STRATEGIC MANAGEMENT BUSA635 "Group task applied at NIC" Instructor: Dr.Grace Khory By Students: Rabab Rabaa Ameed Bshara Qasem Turabi Joseph Sehwail Nashat Abu Shamli Oct, 2011 First: Task Environment Analysis (National Insurance Company- Palestine) Applying of 5 porters forces on National insurance company (NIC) According to porter there are 5 forces to determine the level of intensity by the basic competitive factors, which are: • The Bargaining Power of Buyers • The Threat of New Entrants into the Industry • The Bargaining Power of Suppliers • Threat of Substitute Services • Industry Rivalry Detailed analysis below for each force and risk rating for each force according to the current environment of NIC works. [pic] 1- The bargaining power of buyers:- The insurance buyers are all people , firms , banks , corporations , governmental institutes, other insurance companies , etc…, In insurance service the bargaining power of the buyer increases when it's premium value increases , the buyer uses it's negotiating power to get the less prices in high quality , so the bargaining power will increase ,then the risk of profitability decreases , in the following table we applied the bargaining power of National insurance buyers as following :- |The bargaining Power of buyers (Buyers) |Comments on the degree of buyer power |Risk Rating | | | |High |Medium

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