Competition can erect barriers to new entrants wanting to expand into a new market by

Question

Quizplus · Accepted Answer

Although competition can be a driver of internationalization, competitors can also erect barriers to new entrants in a market. They often do so by employing strategies such as blocking channels of distribution, binding retailers into exclusive agreements, slashing prices temporarily to prevent product adoption, or engaging in an advertising blitz that could hurt a company's initial sales in a market and cause it to retrench.

Competition Can Erect Barriers to New Entrants Wanting to Expand