Factors that cause the rivalry among competing sellers to be weak include
A)low buyer-switching costs and rival sellers that are relatively equal in size and capability.
B)rapid growth in buyer demand and high buyer-switching costs.
C)a recent acquisition of a weak rival by an industry outsider with the intent of turning the acquisition into a major contender.
D)low barriers to entry and weakly differentiated products among rival sellers.
E)slow growth in buyer demand and strongly differentiated products.

Question

Quizplus · Accepted Answer

When buyer-switching costs are high, it becomes difficult for buyers to switch from one seller to another. This can create a situation where rivalry among the sellers may be weak. In addition, rapid growth in buyer demand can make it difficult for any single seller to dominate the market, leading to a weaker rivalry.

Factors That Cause the Rivalry Among Competing Sellers to Be