Porter’s Diamond Model

Dr. Vidya Hattangadi
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Dr. Vidya Hattangadi: Babasaheb Gawde Institute of Management Studies, Mumbai

International Journal of Research and Innovation in Applied Science, 2025, vol. 10, issue 6, 690-693

Abstract: Michael Porter’s Diamond Model is also known as the Theory of National Competitive Advantage of Industries. It is a diamond-shaped framework that focuses on explaining why certain industries within a particular nation are competitive internationally, whereas many are not. Porter’s Diamond Model, examines how nations create competitive advantages in specific industries, considering factors like factor conditions, demand conditions, related and supporting industries, and firm strategy, structure, and rivalry. While Smith focused on broader economic principles, Porter’s model delves into the industry-specific drivers of competitiveness.

Date: 2025
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