The relative bargaining power of suppliers is high when
A) suppliers provide products that are differentiated.
B) incumbent firms face low supplier switching costs.
C) incumbent firms can credibly threaten to backward integrate into the industry.
D) suppliers depend heavily on the industry for a large portion of their revenues.

Question

Quizplus · Accepted Answer

The relative bargaining power of suppliers is high when suppliers offer products that are differentiated and when suppliers do not depend heavily on the industry for a large portion of their revenues.

The Relative Bargaining Power of Suppliers Is High When