Assessing the Market Competitiveness of used Car Dealership Business through Porter's Five Forces Model: Basis for Action Plan

This study assessed the market competitiveness of used car dealership businesses in Nueva Ecija using Porter's Five Forces Model as the basis for an action plan. As a growing industry in the province, used car dealerships face several challenges brought by changing buyer behavior, increasing competition, and the rising popularity of online vehicle marketplaces. The study aimed to describe the profile of used car dealerships, determine their level of market competitiveness, and develop an action plan to help improve their business performance. The study used a quantitative descriptive research design and gathered data through a structured survey questionnaire administered to used car dealership owners and managers. The data were analyzed using weighted mean and descriptive statistics to interpret the level of competitiveness under the five forces. The findings showed that most dealerships are small, registered sole proprietorships with limited manpower and moderate sales volume. Results also revealed that competitive rivalry in the province is strong due to the presence of many dealerships, aggressive promotions, and price adjustments. Supplier power and buyer power were found to be moderate, showing that inventory sourcing and customer negotiation play important roles in business operations. The threat of substitutes was high, particularly due to online selling platforms, motorcycles, and brand-new cars. The threat of new entrants was moderate, influenced by manageable regulations and capital requirements. Based on the results, an action plan was proposed focusing on marketing improvements, supplier expansion, customer service enhancement, online visibility, and brand-building strategies to strengthen competitiveness and support long-term sustainability among used car dealerships in Nueva Ecija.