The extent of rivalry among established companies is lowest when
A) the industry's product is a commodity.
B) demand is growing rapidly.
C) exit barriers are substantial.
D) the industry is entering a decline stage.
E) the industry is dominated by a small number of large companies.

Question

Quizplus · Accepted Answer

When demand is growing rapidly, companies are more focused on capturing new customers and expanding the market, reducing direct competition and rivalry among existing firms.

The Extent of Rivalry Among Established Companies Is Lowest When