According to the business strategy model developed by Harvard University Business professor Michael Porter's,an industry's profit potential is largely determined by _____________.
A)The intensity of competitive forces within the industry
B)Availability of necessary resources to produce the product/service
C)Technological proficiency of companies in the industry
D)Availability of skilled and unskilled labor

Question

Quizplus · Accepted Answer

According to Michael Porter's business strategy model, the intensity of competitive forces within the industry largely determines an industry's profit potential. These competitive forces include the threat of new entrants, bargaining power of suppliers and buyers, and the threat of substitute products or services. Therefore, choice A is the best answer.

According to the Business Strategy Model Developed by Harvard University