According to Michael Porter, there are five determinants of competition. An example of _____ is the threat new competitors pose to existing competitors in an industry.
A) threat of entry
B) rivalry between existing competitors
C) pressure from substitute products
D) bargaining power of buyers
E) bargaining power of suppliers

Question

Quizplus · Accepted Answer

The threat new competitors pose to existing competitors in an industry is referred to as the "threat of entry" according to Michael Porter's Five Forces model. This factor assesses how easy or difficult it is for new entrants to start competing in an industry, which can affect the competitive landscape.

According to Michael Porter, There Are Five Determinants of Competition