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diamantmodel

The Diamantmodel, also known as Porter's Diamond Model, is a framework for analyzing why certain industries within a nation or region achieve international competitiveness. Developed by Michael E. Porter and introduced in The Competitive Advantage of Nations (1990), the model identifies four interacting determinants that shape the environment in which firms compete: factor conditions (the quality and availability of inputs such as skilled labor, infrastructure, and capital), demand conditions (the nature and sophistication of domestic buyers), related and supporting industries (the presence of capable suppliers and complementary sectors), and firm strategy, structure, and rivalry (how firms are created, organized, and compete with each other). In many formulations, government and chance are added as two additional influences that can alter the determinants.

Applications of the model include diagnosing national strengths and weaknesses, identifying opportunities to upgrade an industrial

Criticisms of the Diamantmodel include its sometimes static view of competition, challenges in measuring its determinants,

See also: Porter's five forces, national competitive advantage, cluster theory, innovation systems.

structure,
and
comparing
national
competitiveness
across
sectors.
It
has
been
applied
to
industries
such
as
automotive,
electronics,
and
textiles,
and
to
country
analyses
of
nations
like
Germany,
Japan,
and
the
United
States.
and
the
tendency
to
underemphasize
the
role
of
multinational
enterprises,
global
value
chains,
and
cross-border
knowledge
flows.
Some
scholars
extend
or
adapt
the
model
to
reflect
globalization,
regional
clusters,
and
innovation
systems.