Midterm 1-2 Flashcards
When econ of scale is significant?
threat of new entrants is low
When brand identity is significant?
threat of new entrants is low
When capital requirement are high?
threat of new entrants is low
When learning curve effect is high?
threat of new entrants is low
When customer switching cost is high?
threat of new entrants is low
When market is concentrated
intensity of rivalry is low
When industry is growing
intensity of rivalry is low
When exit barrier is high
intensity of rivalry is high
When customer switching cost is low
intensity of rivalry is high
When product differentiation is difficult
intensity of rivalry is high
When firm’s switching cost of supplier is high
bargaining power of supplier is high
When supplier concentration is high
bargaining power of supplier is high
When impact of inputs on product is high
bargaining power of supplier is high
When threat of forward integration relative to threat of backward integration by firms is low
bargaining power of supplier is low
When buyer switching cost is high
bargaining power of buyers is low
