Your boss, Kerry Miller, has asked you to analyze the soft drink industry using Porter's Five Forces model.Which of the following represents supplier power in the soft drink industry?
A)Pepsi requires stores that carry Pepsi products to commit to minimum orders of 1,000 cases.
B)Walmart negotiates a lower cost per bottle from Coke in exchange for premium shelf space in every Walmart store.
C)Zevia Natural Diet Soda begins selling directly over the Internet.
D)Vitamin water, fruit juice, coffee are all beverage options available to consumers.

Question

Quizplus · Accepted Answer

Supplier power refers to the bargaining power of suppliers in the industry. Option A shows that Pepsi has the power to impose a minimum purchase requirement on its stores, indicating that they have some level of supplier power in the industry. Option B refers to a negotiation between a retailer and a company, which is not relevant to supplier power. Option C shows a new entry in the industry, which is not related to supplier power. Option D refers to beverage options available to consumers, which is not relevant to supplier power.

Your Boss, Kerry Miller, Has Asked You to Analyze the Soft