When a company is analyzing an industry, which factor would lead the company to believe that they have low buyer power?
A) cannot integrate forward into production
B) face high costs to switching suppliers
C) offer supplies that add little value to later stages
D) capital cost are large

Question

Quizplus · Accepted Answer

High costs to switching suppliers indicate that buyers have fewer alternatives and are less likely to switch, which reduces their power in negotiations.

When a Company Is Analyzing an Industry, Which Factor Would