IndexThe main competitors in this market are:Threat of new entriesBargaining power of customerThreats of new substitutesIndustrial rivalsWeaknessThis is an in-depth study on the competitive analysis of a wood cutting product, the Stihl chainsaw. Stihl chainsaw are two leading brands of chainsaws available in Nepal. The quality of Stihl chainsaws is top notch with great fuel efficiency and lower carbon emissions. The Stihl chainsaw brand is one of the major players in the global chainsaw market. In the competitive analysis process we will use the 4p marketing mix to analyze the product compared to its direct competitors. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an original essay Stihl's chosen direct competitors are chainsaw giant Zhejiang Zomax Garden Machinery. The goal of this competitive analysis on Stihl is to provide information on how Stihl has a competitive advantage over its direct competitors. The research method used for this analytical purpose is secondary sources: books, journal articles, newspaper articles and websites. Keywords: chainsaw, Stihl, Husqverna, Oregon, two-stroke (2T), chain, chain bar guide, carburetor, spark plug. Competitive Analysis of Stihl ChainsawsA chainsaw is a power tool that can be carried by hand and is powered by electric or gasoline motors. Chainsaws are mainly used in various wood cutting applications such as cutting, pruning and wood cutting. Stihl is a premium chainsaw brand manufactured and marketed by Andreas Stihl AG & Company KG. Andreas Stihl AG & Company KG is a German manufacturer of chainsaws and portable power equipment, including trimmers and blowers. Stihl was founded in 1926 by Andreas Stihl. Andreas Stihl is one of the innovators of chainsaws. Stihl is the best-selling chainsaw brand in the world and the only chainsaw manufacturer to produce its own chains and guide bars. Stihl uses the carburetor from the Chinese manufacturer Zama. inc and spark plug from NGK, a Chinese production. It is powered by a two-stroke engine. The two-stroke engine offers greater efficiency and power than the four-stroke engine. The chainsaw market is expected to surpass $745 million by 2022 at a CAGR of 1.19% over the given forecast period (Pitzer, 2018). The chainsaw market report offers a clear overview of the current market, including the past and expected future of the market size in terms of volume, technological advancements, and economic elements in the chainsaw industry (Pitzer, 2018). According to Technavio analyst, the global chainsaw market is expected to grow at a steady pace and register a CAGR close to 5% during the forecast period. The decrease in the cost of gas will drive the development prospects for the world advertising of cutting equipment until the end of 2021. According to statistical data, the section of gas cutting tools is the largest portion of the world advertising of cutting equipment regarding the energy source. Likewise, since these machines are controlled by two-stroke oil engines, they are heavily subject to fillings to perform their functions. It has been noted that over the past three years, the import costs of crude oil have substantially decreased, which, therefore, will increase the supply of gas cutting tool items and increase the rate of income age in the world advertising of cutting tools cut. Furthermore, the trend of unrefined oil imports is also expanding to other countries, for example, India, China, Canada, France, Germany, and the United States.[image:] As indicated by the company investigation on the report, the global showcase of cutting equipment is extremely aggressive and expanded due to the proximity of countless and universal merchants across the globe. It has been seen that these traders progressively clash against each other in consideration of elements such as gear well-being, control, weight, ergonomic plan, natural sustainability, cost and ease of maintenance. Additionally, some vendors are progressively focusing on improving the safety features of chainsaws, such as the chain break option that allows the administrator to stop the chainsaws timely. Below is the pie chart of the market share of major competitors in the chainsaw industry. The main competitors in this market are: StihlHusqvarnaHitachiMakita toolsZhejiang Zomax Garden MachineryBriggs and StrattonOther competitive suppliers in the market include Blount International, Craftsman, ECHO, Sunrise Global Marketing, QVTOOLS, Remington, STANLEY Infrastructure and TTI. Indirect competitors in these markets are:1. Circular saw industries2. Band saw industries3. Ax Industries Below is the Nepal import data of saws and cutting tools in Nepal (Source: Indexmundi,2018). [image: ]Source: Indexmundi, 2018Fig: Nepal's annual imports in US dollars – Sawing/cutting machines. In Nepal, imports of cutting machinery are increasing by more than 100% per year. In recent years, due to the devastating earthquake, there has been a significant increase in the import and sale of chainsaws on the market. Chainsaws are the most effective and least time-consuming way to cut wood for building houses and firewood. After the earthquake, many houses in urban and rural areas were destroyed. Hence, there is a great demand for timber for building houses. So many woodworkers have chosen to use chainsaws for the wood cutting process. The traditional way of cutting the tree with axes and six-foot blades is hugely labor intensive and time consuming. Porter's Five Forces Analysis: - Porter's Five Forces explains business dangers that all businesses are vulnerable due to fundamentally external business factors. Any industry must be attractive if these five models lead any industry to gain an advantage (Porter, 1979). Using Porter's five forces model we will try to perform the competitive analysis of Stihl in the chainsaw industry. Threat of new entryThe new entry comes into the current market and tries to have a part of the market share by using the limit, giving weight to costs, price and speculation rate which can eventually shake the company's profitability (Porter, 1979). In Nepal there are many chainsaw brands which are Zomax, BS, Treecut, Agrikut, Huskqverna, Hongda, Woomax, etc. Since there are so many existing brands in Nepal, it is not an ideal time for a new chainsaw brand to enter the market. market. Bargaining Power of Supplier: As the manufacturing unit of Stihl is located in China and it purchases some parts of the machinery from Chinese manufacturing. As we know, China has the lowest labor cost and many advantages in setting up manufacturing facilities, that's why Stihl based its manufacturing unit in China. As at this time, using Chinese resources is the cheapest way to produce the chainsaw. Any industry with low supplier bargaining power always has a greater competitive advantage over competitors. If government policies change in China and raw material suppliers tend to raise product prices a lot, Stihl will have,.