Exit barriers are the economic, strategic, and emotional factors that prevent companies from leaving an industry.

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Exit barriers refer to various factors that make it difficult for companies to exit an industry. These factors may include economic setbacks such as high sunk costs, strategic factors like dependency on key technologies, and emotional factors such as attachment to a brand or a community. As such, exit barriers can prevent companies from exiting an industry even when it is no longer profitable, leading to strained finances and a decline in market share.

Exit Barriers Are the Economic, Strategic, and Emotional Factors That