The Internet has changed the way people pay bills. From Canada Post's perspective, this is an example of which of Porter's five forces?
A) Substitutes
B) Threat of potential entrants
C) Buyers
D) Suppliers
E) Threat of replacement products

Question

Quizplus · Accepted Answer

The emergence of electronic payment systems on the Internet can be seen as a substitution for traditional payment methods such as mailing a check or paying in person. This impacts Canada Post as fewer people may use their services for bill payment. Therefore, it is an example of the substitute force in Porter's Five Forces framework.

The Internet Has Changed the Way People Pay Bills