Michael E. Porter’s Theory of the Competitive Advantage of Nations based on four key factors is also referred to as Porter’s diamond. Porter’s Diamond model suggests that some nations have an inherent competitive advantage (National competitiveness or advantage) than others globally, based on factor conditions (e.g. raw material abundance like oil in Middle Eastern countries), demand conditions (e.g. Japan’s local demand for electronics), related and supporting industries (e.g. Italian shoe industry benefits from related and supporting industries) and firm strategy, structure and rivalry (e.g Hierarchical structure of German firms and Flat structure of Danish firms is advantageous in engineering and biochemistry industry respectively). Managers can utilize this model to assess investment in foreign markets and formulate entry strategy.