The threat of new entrants to companies that specialize in public sector work ca

The threat of new entrants to companies that specialize in public sector work can be difficult. Especially ones that focus heavily on defense contracting. However, the difficulty of a competitor entering the market changes significantly depending on the location. For example, a company that is trying to enter the public sector, specifically defense contracting which Serco plays a large part in, can be harder in the United States. This is due in part to many reasons, the largest of them being the laws and regulations that accompany defense contracting and the budgeting set for it and what it can be used for. There is also a lot of licenses and certifications a company has to have to even compete in defense contracting. THat can change greatly depending on location, it is quite a bit easier for Serco to operate in countries such as Saudi Arabia and Africa, due to the lack of so many regulations.
New Entrants
Stormsensor was founded in 2015 and primarily focuses on the information and management conditions of storm and wastewater. Whether it be in local communities, counties, DOTs, or Non-Profits. They are mainly operating on the East coast but have grown significantly in the last 6 years. This is troubling for Serco since they outsource waste management to other companies in the United States, especially on military installations. Stormsensor is doing the same work in a more time and cost-effective manner as the company’s that Serco outsources to.
RiskIQ is also a fairly new company that focuses on cyber threat intelligence, prevention, and incident response. They are a threat as the company continues to grow and their brand recognition is being well established for the IT security services they provide. Serco plays a large part in the IT industry in all types of government agencies, whether it be on military installations or other government agencies.
Substitutes
Aramark is one of the top six competitors for Serco. Even though they are only ranked as the sixth competitor they have been in competition with Serco longer than Genpact. Genpact has only been on the top six competition list for five years. Aramark has been in close competition with Serco for upwards of 10-15 years. Aramark offers very similar services as Serco and they both operate heavily in government agencies. Aramark has been known for being cheaper on many of its services but at a lower standard. For example, Serco invests heavily in the IT department and provides top-notch products. Aramark does not invest in innovation as much as Serco and it shows through customer reviews of their IT services.
References
CorporateWatch. (2018). SERCO: COMPANY PROFILE 2018. Retrieved on 11 November 2021, from https://corporatewatch.org/serco-company-profile-2018/.
RiskIq. (2021). Security Intelligence for What Matters. Retrieved on 11 November 2021, from https://www.riskiq.com/?utm_campaign=ce_sign_up&utm_source=google&utm_medium=cpc&utm_content=free_trial&utm_term=%2Brisk%20%2Biq&gclid=CjwKCAiAm7OMBhAQEiwArvGi3J7n-dfhGgm8fXv2Yu-mGWzAJDcC8FY3INjRc7ovDVi4JonPGMTtVBoChZQQAvD_BwE.
Stormsensor. (2021). WHAT WE DO. Retrieved on 11 November 2021, from https://www.stormsensor.io/?utm_medium=cpc&utm_source=google%20ad&utm_campaign=mf%20se&utm_term=ss&utm_content=home&gclid=CjwKCAiAm7OMBhAQEiwArvGi3LV-YXSOg3XMcgNO3-GpnQbL4ESVgcx-LEQiuZgPDulFpO0fiJj7BhoCxaQQAvD_BwE.