Considering Michael Porter's five factors, the automotive industry in South Africa is characterised by:
A)weak rivalry.
B)high barriers to entry.
C)many substitute products.
D)weak suppliers.

Question

Quizplus · Accepted Answer

According to Michael Porter's five factors, high barriers to entry in an industry means that new entrants will find it difficult to establish themselves in the market due to factors such as high capital requirements or regulations. The automotive industry in South Africa is known for its high barriers to entry, making it difficult for new players to enter the market. This is mainly due to the significant investments required in areas such as research and development and manufacturing facilities. Therefore, option B is the best choice.

Considering Michael Porter's Five Factors, the Automotive Industry in South