A Report On Cyber Security Breaches - 1596 Words

Cyber security breaches have shown a spike in 2015, with large-scale compromises on companies like Target, Sony and Home Depot. There is a strong demand to deploy more robust cyber security tools to prevent future attacks. FireEye, a cyber-security firm, has started to fill the void and is reaping the rewards. Company Overview FireEye is an industry leader in total security threat protection. The organization has a unique set of security products which enable organizations to protect their online assets from attacks in real time. FireEye is known for its strong research and incident response teams that help organizations mitigate the impact of significant security breaches (FireEye, 2014). FireEye’s products range from a standalone†¦show more content†¦This brief will examine FireEye’s position as it relates to Michael Porter’s Five Forces of competition; Threat of New Entrants, Threat of Substitutes, Bargaining Power of Suppliers/Customers, and Rivalry among Existing Competitors. Threats of New Entrants There are a variety of barriers that an organization may face when entering into a particular market space. In the case of FireEye, the barriers they faced in the cyber security domain were incumbents in the market, like customers exhibiting cost sensitivity in switching from their existing service. The majority of the customer’s in the cyber security industry has multiple cyber related business like antivirus, providing network hardware, providing security services, performing audits and assessments and risk advisory services. Company’s like Palo Alto and McAfee are entering into malware analysis with very less or no profit margin set to attract more customers. This affects the quality of the product and poses a critical challenge for FireEye. FireEye, unlike its competition, does not have easy access to distribution channels distribution partners. Proper distribution channel is a matter of concern when expanding the sales to countries other than US. The growing number of cyber security threats has brought about a proliferation of businesses offering various forms of network protection solutions. This may