Threat of substitute products is typically the force that has the greatest impact in the Five Forces model.

Question

Quizplus · Accepted Answer

The impact of the threat of substitute products varies across industries and is not universally the greatest force in Porter's Five Forces model; factors such as competitive rivalry, bargaining power of suppliers, bargaining power of buyers, and the threat of new entrants also play critical roles.

Threat of Substitute Products Is Typically the Force That Has