The candy bar market is a highly competitive field within the rapidly evolving consumer goods industry. Even in the Fairtrade market, the number of producers is growing and competition and demand are increasing. The attractiveness of an industry effectively influences the profitability of a firm and competition within the industry can be described by conducting a five forces analysis as suggested by Porter (1985). This framework addresses the following key factors: threat of new competitors, threat of substitute products, determinants of buyer power, determinants of supplier power, and rivalry among existing firms. (Porter, 1985) Analysis of these forces shows that the retail market for standard chocolate bars is rather static and highly competitive. Although the threat of new entrants and supplier power are both very low, buyer power, threat of substitution and rivalry are major challenges for companies active in this industry. In the Fairtrade market, however, the picture looks a little different. Due to the relatively small volume of the Fairtrade chocolate market compared to standard chocolate bars, new competitors can easily enter the market and create new product lines, etc. Many producers, long established in the standard chocolate market, for example Nestle's KitKat, can easily enter the Fairtrade market because they have the financial and knowledge resources. Such brands are able to offer Fairtrade products at a much lower price due to large economies of scale and an established customer base. Furthermore, with the increase in the number of Fairtrade private label products, this on the one hand increases competition, but on the other hand also offers new Business to Business sales opportunities for chocolate producers such as Divine in..... . half of paper... ...available from: http://www.fairtrade.org.uk/press_office/press_releases_and_statements/february_2012/responsible_capitalism.aspx [Accessed 29 February 2012]DIVINE CHOCOLATE LTD., 2012. Annual Report 2009 /10 [online]. Divine Chocolate Ltd. Available from: http://www.divinechocolate.com/sites/www.divinechocolate.com/assets/1703.pdf [Accessed 29 February 2012]IDEALO.DE, 2012, Milka Süßigkeiten & Schokolade. Available from: http://www.idealo.de/preisvergleich/ProductCategory/12452F913341.html [Accessed 3 March 2012]GEPA – THE FAIRTRADE COMPANY. 2012, Kakao & Schokolade – Verführerische Vielfalt aus Schokolade [online]. Available from: http://www.gepa.de/p/cms/media/pdf/aktuelles/GEPA_Schokobroschuere.pdf [Accessed 3 March 2012]TONY'S CHOCOLONELY. 2012, available from: http://webshop.tonyschocolonely.com/product/chocoladerepen?product_id=72 [Accessed 3 March 2012]