Producers of very close functional substitutes pose a threat to other firms in their industry. Namely, consumers have choices, prices fall, costs rise (e.g., for adverts, product development, etc.). This describes the element of the Five Forces of Competition model known as

Producers of very close functional substitutes pose a threat to other firms in their industry. Namely, consumers have choices, prices fall, costs rise (e.g., for adverts, product development, etc.). This describes the element of the Five Forces of Competition model known as

Producers of very close functional substitutes pose a threat to other firms in their industry. Namely, consumers have choices, prices fall, costs rise (e.g., for adverts, product development, etc.). This describes the element of the Five Forces of Competition model known as




a) Supplier and buyer power
b) The threat of rivalry
c) The threat of substitutes
d) The threat of new entry.




ANS B


Learn More :