Questions
Single choice
In the five-forces framework, the growth rate of an industry will affect
Options
A.the rivarly among existing competitors
B.the threat of new entrants
C.the suppliers power
D.the barriers to entry
View Explanation
Verified Answer
Please login to view
Step-by-Step Analysis
The question asks how the growth rate of an industry in the five-forces framework influences competition.
Option 1: 'the rivarly among existing competitors' — This is the area where industry growth rate has a direct impact. In rapidly growing industries, firms can expand without cutting prices or stealing market share from rivals, which tends to lessen competitive pressure. Conversely, in slow- or negati......Login to view full explanationLog in for full answers
We've collected over 50,000 authentic exam questions and detailed explanations from around the globe. Log in now and get instant access to the answers!
Similar Questions
In the five-forces framework, the fear of price retaliation raises
In the Five-Forces framework substitutes erode profits because of which of the following factor?
Which part of the Five Forces Framework does the following example illustrate?A new technology has emerged that allows for the production of a highly efficient and cost-effective alternative to traditional fossil fuels. This technology has attracted significant investment and attention from both existing energy companies and new entrants into the market. As a result, established oil and gas companies are facing pressure to adapt their business models and invest in renewable energy sources.
Before starting a new business, Mary wants to analyze which strategy would be appropriate for her business to enter a new market. Which of the following business strategy analysis methods is needed?
More Practical Tools for Students Powered by AI Study Helper
Making Your Study Simpler
Join us and instantly unlock extensive past papers & exclusive solutions to get a head start on your studies!