Asked by Shannen Relova on May 11, 2024
Verified
According to Michael Porter, there are five determinants of competition. An example of _____ is when competitors seek to expand their share of the market.
A) threat of entry
B) rivalry between existing competitors
C) pressure from substitute products
D) bargaining power of buyers
E) bargaining power of suppliers
Rivalry
Competition between companies in the same industry aimed at achieving higher sales, market share, and recognition by consumers.
Market Share
The portion of a market controlled by a particular company, product, or brand, often expressed as a percentage of total sales.
Competitors
Other businesses or individuals that offer similar products or services within the same market.
- Understand Porter's five forces of competition and their impact on markets.
Verified Answer
XF
Xagros FarajiMay 12, 2024
Final Answer :
B
Explanation :
Rivalry between existing competitors intensifies when companies within the same industry seek to increase their market share, often leading to competitive actions such as price reductions, product improvements, and increased marketing efforts.
Learning Objectives
- Understand Porter's five forces of competition and their impact on markets.