Mr.Crunchy Inc.is a firm that manufactures potato chips.With more and more people becoming health conscious,it made no profit in the last quarter.But with large initial investment,factories,and the high-technology chips-making machines,the firm found it difficult to abandon the industry.According to Porter's five-force model,the company was facing a(n):

Question

Quizplus · Accepted Answer

The firm is facing exit barriers as it has made a large initial investment in factories and high-technology chips-making machines, making it difficult to abandon the industry despite the lack of profit.

MrCrunchy Inc