Ted Inc. traditionally provides subcontracting services to construction firms. There are many firms like Ted Inc. in the marketplace, but it does about 85 percent of the work for Will's Construction Corp. Will typically negotiates quite heavily, reducing Ted's profits. This situation is indicative of the high bargaining power of

Question

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The fact that Will's Construction Corp. has a high bargaining power and is able to negotiate heavily with Ted Inc. suggests that they have numerous options for subcontracting services, giving them a competitive advantage in the marketplace. This makes them a powerful customer for Ted Inc. and indicates that the high bargaining power of customers is the most likely factor at play here.

Ted Inc Traditionally Provides Subcontracting Services to Construction Firms