Exit barriers are obstacles that determine how easily a firm can leave the industry.When exit barriers are high,what happens to industry attractiveness?
A) It decreases.
B) It increases.
C) It becomes a complement.
D) It has no impact.

Question

Quizplus · Accepted Answer

High exit barriers cause firms to stay in the industry longer than they may want to and increases rivalry, thereby reducing potential profits.

Exit Barriers Are Obstacles That Determine How Easily a Firm