Which one of Porter's five forces is high when it is easy for new competitors to enter a market and low when there are significant entry barriers to joining a market?
A) Threat of new entrants.
B) Threat of substitute products or services.
C) Threat of buyer power.
D) Supply chain competition.

Question

Quizplus · Accepted Answer

The threat of new entrants is high when it is easy for new competitors to enter a market, indicating low entry barriers, and low when there are significant entry barriers, making it difficult for new competitors to enter the market. This force assesses how easy or difficult it is for competitors to join the marketplace.

Which One of Porter's Five Forces Is High When It