In Porter's Five Forces model, as each of the five forces grows stronger, it limits the ability of established companies to raise prices and earn greater profits.

Question

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Porter's Five Forces model states that each of the five forces (competitive rivalry, supplier power, buyer power, threat of substitutes, and threat of new entrants) can limit the ability of established companies to raise prices and earn greater profits. As these forces grow stronger, competition increases and companies are forced to keep their prices low to remain competitive. Therefore, option A is the correct answer.

In Porter's Five Forces Model, as Each of the Five