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ngines to the industry, and therefore enjoys a lot of liberty. Even the engine service is done by the KOEL engineers. So, the companies has tomaintin good relationship with KOEL, as they might shift to another engine manufacturer but still for the servicing of KOEL engines they will require KOEL’s help. Therefore KOEL can enjoy Vito powers here. Bargaining Power of the Buyer:- Also described as the market of outputs. The ability of customers to put the firm under pressure and it also affects the customer's sensitivity to price changes. In Earthmoving Industry, buyers have good bargaining power as the price differentials are very less. The cost of shifting from one brand to another is negligible. Customer’s rate companies on the basis of after sales service & spare parts availability. In the time of recession, when the banks are somewhat reluctant in providing loans to FTBs/FTUs (First time buyers/First time users), it has become a necessity to target those customers who go for re-buy. As these customers already know the product & brand, they posses good bargaining power in terms of, service terms & conditions & Free of charge (FOC) spare parts. The threat of substitute products:- In Earthmoving equipments the threat from substitutes ceases to exist, as the product is one of ts kind & therefore faces very low substitute threat

The threat of new entrants:- Profitable markets that yield high returns will draw firms. This results in many new entrants, which will effectively decrease profitability. Unless the entry of new firms can be blocked by incumbents, the profit rate will fall towards a competitive level (perfect competition). In Earthmoving industry, the threat from new entrants is high as in last 5 years 7-different brands has entered the Indian market. As the industry more or less operates in a perfect competitive environment, the price for the product is almost same across brands, which forces companies to operate at low margins & with high customer...