When doing industry analysis using Porter$$s $5$ Forces, we often have a choice between a broader and a narrower definition of the industry. In the broader industry definition, we would have more firms $($of slightly different types, like specialty cafes and fast$-$food cafes$)$ included in the industry as rivals, whereas in the narrower industry definition we have fewer firms included as industry rivals $($e$.$g$.,$ only specialty cafes$)$ with other types of firms $($e$.$g$.,$ fast$-$food cafes$)$ excluded from the industry.

Now, let$$s say you chose such a narrower industry definition for analyzing the industry rather than a broader one.

In your Porter$$s $5$ Forces analysis using this narrower industry definition, what should you typically do with all those firms $($the fast$-$food cafes, in the example above$)$ that you have excluded from the industry?

You should include those firms in a separate VRI analysis.

You should exclude those firms from the $5$ Forces analysis.

You should include those firms in the $5$ Forces analysis under the threat of substitutes.

You should include those firms in the $5$ Forces analysis under the threat of rivalry.

You should include those firms in a separate PESTEL analysis.