Frequent price cutting by firms in an industry,frequent introduction of new products by firms in an industry and intense advertising campaigns are indications of
A) high power of buyers.
B) high threat of entry.
C) high levels of rivalry.
D) high threat of substitutes.

Question

Quizplus · Accepted Answer

Frequent price cutting, introduction of new products, and intense advertising campaigns are all signs of high levels of rivalry in the industry. Firms are trying to gain market share and compete against each other, which leads to intense competition and price sensitivity among consumers.

Frequent Price Cutting by Firms in an Industry,frequent Introduction of New