CASE
Scenario - Darla Davidson
Darla Davidson was an executive with Digital Industries, a leading manufacturer of color televisions. She recognized that the color television market in the late 1970's was facing significant challenges. After two decades of highly successful development and marketing, the sales of color televisions had slowed and replacing older color television sets largely created her market.
-Which one of the following is not one of the competitive forces that Porter recommends that Darla should recognize?
A) Potential new entrants
B) Bargaining power of buyers
C) Threat of substitute products
D) Bargaining power of suppliers
E) All of these are competitive forces.

Question

Quizplus · Accepted Answer

Porter's Five Forces model includes all the options listed: potential new entrants, bargaining power of buyers, threat of substitute products, and bargaining power of suppliers, as well as industry rivalry. Therefore, all of these are competitive forces that Darla should recognize.

CASE Scenario - Darla Davidson