<p align="justify">Exor NV is an investment holding company based in the Netherlands. The holding group is run by the Agnelli family, which was started at the end of the 19th century (Exor, 2020). The Company invests in companies from different sectors, and its main investments are in Europe and the United States. The Company operates through the different segments that include: Fiat Group, Fiat Industrial Group, C&;W Group, Alpitour Group, Juventus Football Club, and Holdings System. It is currently ranked 24 on Fortune Global 500 companies with more than 300,000 employees (Fortune, 2020). It is considered one of the biggest holding companies in Europe. Porter’s five forces model is a useful tool to identify threats and opportunities faced by Exor in the investment sector in the world.</p>
<h2 align="justify">Competitive Rivalry in the Market</h2>
<p align="justify">Exor holding had a diversified portfolio; diversification helps in generating revenue and provides a competitive edge. The revenue of Exor Holding was $169.1 billion (Forbes, 2020). Exor operates in the Diversified Financials industry and its major competitors are Exor, Eurazeo, and Wendel SA. These companies are headquartered in Europe. The revenue of Eurazeo is $3.4 billion (Forbes, 2017), and the annual revenue for Wendel SA is $9.9 billion, respectively (Forbes, 2019). Exor is ranked among the top 25 companies in the global 500, and its high rank emphasizes its competitive advantage. The individual brands that Exor holds face more competition in an individual capacity such as Fiat, Ferrari &; Juventus. An electronic car company such as Tesla provides a real challenge. The growing investment by Chinese and Arabs in the football world poses a real competition to Juventus. Overall there is moderate competitive rivalry in the diversified financials industry.</p>
<h2 align="justify">Threat of Substitutes</h2>
<p align="justify">Exor group is the holding company that invests with long-term investment goals. Fiat is well established and leading a race to invest in electric cars. Fiat is supposed to invest $788 M in the electric industry (Giulio Piovaccari, 2019). Ferrari is also set to unveil its fully electric car in 2025 (Jo Borrás, 2020). Electronic sports, generally known as E-sports, have increased in popularity. E-sports have gain momentum in the last decade. Which is becoming a professional sport; it includes international pro leagues and championships. Despite the exponential growth of the E-sports industry and the race for alternative energy vehicles, Exor&#8217;s portfolio companies are well-positioned, and in short to medium term, the threat of substitutes is low.</p>
<h2 align="justify">The Threat of New Entrants</h2>
<p align="justify">The Exor group holds a major share in Automobile, sports, and leisure companies. The automobile industry is capital intensive. New companies need innovative products and penetrative pricing models to compete with incumbents. Fiat runs an individual research and development wing known as Centro Ricerche FIAT SCPA, which works with other research institutes to bring innovation to their brand (CRF, 2020). Creating a professional sports team requires a huge capital investment along with professional expertise. Other than that, strict regulatory standards are to be met. The threat of new entrants is low because of the huge required investment and compliance requirements.</p>
<h2 align="justify">Bargaining Power of Buyers</h2>
<p align="justify">The major automobile companies buy raw materials from smaller suppliers located around the world. These suppliers can decrease the profit margin of the automobile industry. The overall impact of higher supplier bargaining power is that it lowers the overall profitability of Auto Manufacturers. The rise of competition in the electric car industry provides an advantage to the consumer. In the last decade, the majority of companies in the automobile industry have moved towards hybrid cars and electric cars. The football industry is consumer-oriented; the more people watch your matches in-stadium and online directly benefit your revenue. To keep entertaining, they need to spend millions of dollars and perform in the competition. It is consumer dependent. Thus it provides consumers high buying power to it. By considering all the mentioned factors, the bargaining power of buyers is moderate.</p>
<h2 align="justify">Bargaining Power of Supplier</h2>
<p align="justify">The automobile industry revolves around innovation and credibility. The Fiat and Ferrari are the oldest and credible brand names worldwide; they leverage technology to elevate their product quality. The main sources of supply are raw material; these companies have huge supply chains with vendors across the globe. In that case, suppliers do not hold any significant buying power. This puts pressure on automobile makers. In football, the revenue is directly related to club performance in competition. To keep the brand integrity club spends money to lure bigger sports star and do well in competitions, they take part in. In that case, the supplier holds high bargaining power. Considering the above mentions factors, Exor Group&#8217;s suppliers hold moderate bargaining power.</p>
<h2 align="left">References</h2>
<p>CRF. (2020). Corporate. https://www.crf.it/EN/corporate<br />
Exor. (2020). History. Available at: https://www.exor.com/pages/exor/history<br />
Forbes. (2017). Eurazeo. Available at: https://www.forbes.com/companies/eurazeo/#45910054236f<br />
Forbes. (2019). EXOR. Available at: https://www.forbes.com/companies/exor/#44aa721e1fcc<br />
Forbes. (2019). Wendel. Available at: https://www.forbes.com/companies/wendel/#42f24d9c513b<br />
Fortune. (2020). EXOR Group. Available at: https://fortune.com/global500/2019/exor-group/<br />
Jo Borrás. (2020). Electric Ferrari Plans Leaked In Patent Filing. Available at: https://cleantechnica.com/2020/01/25/electric-ferrari-plans-leaked-in-patent-filing/<br />
Piovaccari,G. (2019). FCA plans electric Fiat 500 for 2020 as moves on from Renault. Available at: https://www.reuters.com/article/us-fiat-chrysler-fiat-500-bev/fca-plans-electric-fiat-500-for-2020-as-moves-on-from-renault-idUSKCN1U61AV</p>