Number and Size of Suppliers
– A company to manufacture itsproducts requires raw material, labor etc. If there are fewsuppliers providing material essential to make a product thenthey can set the price high to capture more profit. Powerfulsuppliers can squeeze industry profitability to great extend. Incase of NANO the supplier are limited and the size of thesuppliers are big enough to bring about the controlling power inthe price of the car. The NANO car has more than 128 suppliers inall and the major portion of the building cost of the car is theparts supplied by the suppliers