Which of the following has the greatest potential to transform an industry's structure?
A)a change in a competitor's management
B)a change in a competitor's pricing structure
C)the expansion of a distribution channel
D)the exit of a competitor from the industry

Question

Quizplus · Accepted Answer

The exit of a competitor from the industry has the greatest potential to transform the industry's structure as it alters the competitive landscape, changing the concentration and dynamics of the industry. It can create opportunities for the remaining players to capture market share and increase profits. A change in competitor management or pricing structure may result in temporary shifts in the competitive environment, but they typically do not impact the industry structure as significantly. The expansion of a distribution channel may increase a company's reach, but it does not necessarily alter the underlying competitive structure of the industry.

Which of the Following Has the Greatest Potential to Transform