Homework SourseMichael Porter developed the five forces model Of the five f
Michael Porter developed the five forces model. Of the five forces, there were three that had to do with competitive forces and two that had to do with bargaining power forces. what is the primary danger regarding the three competitive forces?
A. The danger is that substitutes for your product will be easily available.
B. Your organization will be “too big” to manage its supply chain efficiently.
C. The danger is that switching costs will be too high relative to competitive force.
D. Each of the three competitive forces concerns the danger of customers taking their business elsewhere.
E. As strength of the customer loyalty in the industry decreases, the strength of the competitive forces will also decrease.
Michael Porter developed the five forces model. Of the five forces, there were three that had to do with competitive forces and two that had to do with bargaining power forces. what is the primary danger regarding the three competitive forces?
A. The danger is that substitutes for your product will be easily available.
B. Your organization will be “too big” to manage its supply chain efficiently.
C. The danger is that switching costs will be too high relative to competitive force.
D. Each of the three competitive forces concerns the danger of customers taking their business elsewhere.
E. As strength of the customer loyalty in the industry decreases, the strength of the competitive forces will also decrease.
A. The danger is that substitutes for your product will be easily available.
B. Your organization will be “too big” to manage its supply chain efficiently.
C. The danger is that switching costs will be too high relative to competitive force.
D. Each of the three competitive forces concerns the danger of customers taking their business elsewhere.
E. As strength of the customer loyalty in the industry decreases, the strength of the competitive forces will also decrease.
Solution
The primary danger is
A. The danger is that substitutes for your product will be easily available
When substitutes are easily available, there are high chances that customers of your product are taken away by the substitute.
Option B is not a competitive force. Supply chain management is related to the organization alone.
If switching costs are too high, it is a good thing because your customers are less likely to switch owing to these costs.
If customer loyalty decreases, so is the same for all competitors. This is not primary danger. You pull customers of other and they pull yours.
