Starting with defining your analytics is a great approach to entering new markets to consider. Define the boundaries of your analysis to keep focused. By zooming in on what matters, you can avoid information overload and pinpoint the key forces that will drive success. A focused approach is the first step towards gaining insights that matter

> research market entry barriers like capital requirements, regulation, distribution access: the threat of new entrants > assess supplier landscape and whether adequate alternatives exist; bargaining power of suppliers > determine buyer size, information access, and switching costs; bargaining power of buyers > identify alternatives that can fulfill the same customer needs; threat of substitutes > analyze number of competitors and differentiation; competitive rivalry > five forces analysis to identify the least competitive segments worth entering or most defensible positions IMO, while not the only tool, five forces establish a foundational understanding of market attractiveness and how value will be divided between players

While assessing the rivalry, the shifting sands of the playing-field are to be monitored closely. While GDPs of economies are generally trending upwards, there are wars, other socio-economic conditions, employment rates, interest rates, etc. at play, which affect the competitiveness of the rivals' offers and their profitability and ability to invest in sustaining their competitive advantage. So it is not just rivals that matter but also all matters that rival the firms' resources and attention. For instance, semiconductor shortage leads to fewer cars on the road with built-in safety features, which reduces an automaker's ability to realize higher revenue and margins from selling a higher-spec car.

Compared to a couple of decades ago, there is much more access to global knowledge, and there is mature technology that can readily consume it. Due to this, entry barriers have generally come down for most sectors. As an example, there are 100s of FinTechs that provide various services provided by a national bank today. However, it is vital to consider the ability of a new entrant to hold on to the market share captured, which sometimes has been difficult for the new entrants because the established players eventually replicate the capabilities and, using their scale advantage, marginalize the new entrants. However, there are plenty of exceptions in retail, real estate, financial services, manufacturing, and other industries.

We're in an information-flooded market model where there is much more information on products than what may be needed. So substitutes are well considered on multiple dimensions, and several digital and human influencers drive product switches and selections more than ever.

A traditional story of a buyer and a seller and intermediary is becoming more intimate. There is more information all around. The sellers demonstrate an extreme appetite to "understand" the sellers' needs to provide the best solution that they can. While the buyers can be spoilt with choices, they understand the utility of strategic partnership with other sellers and the advantage of using the combined knowledge to fare better than the competitors. The intermediaries no longer serve as mailmen pocketing a fee; they are active market makers and advisors to these firms. Most intermediaries in the risk management industry construct the best deals for the buyers by bringing together the right risk management products from multiple sellers.

Porter's Five Forces is an amazing tool to help the business understand the external factors that have an impact on the business success or failure in the market or industry. However, having limited information in a “new market” makes it very challenging to find the answers. In the business world the uncertainty will always remain, therefore, not all questions necessarily must be answered from very early stage of the business. The business understanding of the market will evolve over time. In fact, the successful business all about timing and the right product/market fit. when creating or entering a new market, there are other tools that should be utilized to help the business answer the right question at the right time with minimum cost.

Consider using a risk management framework to address the the new market uncertainty when using Porter Five. It would be a good addition.