Textbook publishers can charge high prices because students enrolled in a class must purchase the specific book that the professor has selected. Used copies are sometimes a lower-cost option, but textbook publishers have cleverly worked to undermine the used textbook market by releasing new editions after very short periods of time. According to Porter what "force" do textbook publishers represent?
A) Buyers
B) Suppliers
C) Substitutes
D) New Entrants
E) Rivals

Question

Quizplus · Accepted Answer

Textbook publishers represent the "Suppliers" force in Porter's Five Forces model, as they have significant power over pricing and availability of textbooks, which are essential for students.

Textbook Publishers Can Charge High Prices Because Students Enrolled in a Class