Rivalry tends to be fierce among an industry's competitors if fixed costs in the industry are low.

Name: Rivalry tends to be fierce among an industry's competitors if fixed costs in the industry are low.
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When fixed costs are low, companies have less pressure to produce at full capacity, reducing the intensity of competition. Fierce rivalry is more common when fixed costs are high, as firms need to cover these costs by maintaining high production levels.

Rivalry Tends to Be Fierce Among an Industry's Competitors If