Market attractiveness decreases with the number of competitors. Diversity among market competitors increases market attractiveness. Barriers block only new firms from the market. Readily available substitutes reduces an organization's ability to attract either donors or clients . The more concentrated are the clients or customers of an NPO, the more control they wield.
Customers gain power when substitutes for the service are available, or self-production is possible.
Customers are more powerful when the product or service they consume is very important to them. The power of the supplier is determined by the concentration of the supplier's industry and the availability of good substitutes.