<p align="justify">The Bank of Nova Scotia also known as Scotiabank is operating in Canada and one of the biggest multinational banks. It is ranked third biggest bank of Canada in terms of market capitalization and deposits. The Bank serves to over 25 million consumers across the globe by offering broad range of services and products which include commercial and personal banking, investment and corporate banking, and wealth management. The bank is employing more than 88000 staff and trades on New York and Toronto stock exchanges (Scotia bank, 2019).</p>
<p align="justify">Scotia Bank is operating at a global level and competing with both local and international banks, it is necessary for it to analyze the competition at industry level to re-examining its approaches. Porter five forces analysis helps the company in determining and identifying the strategic position of the Bank and the competitive intensity. Hence, affecting the long-term profitability of the industry in a good way. Here is the detailed porter five forces analysis of the Bank of Nova Scotia;</p>
<h2 align="justify">Bargaining Power of Buyers</h2>
<p align="justify">Buyers’ bargaining power in case of Bank of Nova Scotia is limited because of the high switching costs, which increases the price sensitivity, and buyers stick with one bank for a longer term. The bank is offering the wide range of services and products in almost every category of financial industry, which gives the point to consumers to stick with the bank and avail all the facilities in reasonable prices. The services of bank of Nova Scotia are efficient quality wise, but are undifferentiated or standardized, which means, if consumers will go to other banks, they will get same services in almost same rates (Harvard case study, 2019).</p>
<h2 align="justify">Bargaining Power of Suppliers</h2>
<p align="justify">The main product of the bank is money, which is accumulated through the deposits, and also access the wholesale markers for bond and stock issues. This makes customers as the major bank suppliers. Other means of cash for banks are financial institutions, investors and central banks, but they are also consumers. This makes the bargaining power of suppliers limited in Canada because they have impact on the willingness of banks to pay the prices to them. It is necessary for Bank of Nova Scotia to make good relationship with its suppliers in order to increase the profitability (Schiltz, 2012).</p>
<h2 align="justify">Threats of New Entrants</h2>
<p align="justify">Threats of new entrants are limited for Bank of Nova Scotia, because of the high capitalization requirement in the industry. The new entrants have to compete with existing local and international banks at high level and for this it needs to achieve economies of scales, which is little difficult. Moreover, new entrants to enter in the financial market with other differentiated products and also strong marketing tactics to be a hit. Thus, Bank of Nova Scotia can become a big barrier for new entrants as a rival to enter in the financial market (Henry, 2018).</p>
<h2 align="justify">Threats from the Substitute Products</h2>
<p align="justify">Threats from the substitute products to Scotia bank is medium to high because of operating at global level. In Canada, there are both local and other international banks which provide same services in more or less the same prices. The bank has threats from other non-financial companies, who diversify itself in some fields like insurance, or mortgages, and attract the bank’s consumer base. This threat effects the profitability of Scotia bank, and continuous innovation has to be done to retain the customer base (Harvard case study, 2019).</p>
<h2 align="justify">Rivalry of Existing Players</h2>
<p align="justify">The competition level in the Canadian financial market especially among banks is much high because of both local and multinational banks. Moreover, international banks are also operating in Canada, which makes the competition level intense. It is necessary for the Scotia bank, to maintain and attract more consumers to survive in the market and diversify geographically to spread the risk and profitability (Henry, 2018).</p>
<h2 align="justify">References</h2>
<p style="text-align: left;" align="left">Harvard Case Study, 2019. Scotiabank Harvard Case Study Solution &; Online Case Analysis. [Online], Available at: <a href="https://caserighted.com/scotiabank/">https://caserighted.com/scotiabank/</a>, [Accessed on: 19th November, 2019].<br />
Henry, Z. 2018. Scotiabank Porter Five Forces Analysis. [Online], Available at: <a href="https://www.case48.com/porter-analysis/13753-Scotiabank">https://www.case48.com/porter-analysis/13753-Scotiabank</a>, [Accessed on: 19th November, 2019].<br />
Scotia Bank, 2019. About us. [Online], Available at: <a href="https://www.scotiabank.com/ca/en/about.html">https://www.scotiabank.com/ca/en/about.html</a>, [Accessed on: 19th November, 2019].<br />
Schiltz, L. 2012. A strategy analysis of the “big five” canadian banks. [Online], Available at: <a href="https://www.slideshare.net/LouisClmentSchiltz/a-strategy-analysis-of-the-big-five-canadian-banks">https://www.slideshare.net/LouisClmentSchiltz/a-strategy-analysis-of-the-big-five-canadian-banks</a>, [Accessed on: 19th November, 2019].</p>