The nature and strength of the competitive forces that prevail in an industry is generally a joint product of the
A) pressures associated with rivalry among sellers to attract buyer patronage.
B) threats that firms outside the industry will decide to enter the market.
C) attempts of companies in other industries to win buyers over to their own substitute products.
D) pressures stemming from the bargaining power of both suppliers and buyers.
E) All of these choices are correct.

Question

Quizplus · Accepted Answer

All of the choices given are correct and contribute to the nature and strength of competitive forces in an industry. Rivalry among sellers, threat of new entrants, substitute products, and bargaining power of suppliers and buyers all shape the competitive landscape of an industry. Understanding these forces is crucial in analyzing the attractiveness and profitability of a particular industry.

The Nature and Strength of the Competitive Forces That Prevail