BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Explanation: Suppliers are more attracted to industries that have high competition because they get reasonable prices for their supplies. Therefore, the correct option is high.

Detailed explanation-2: -What is Competitive Rivalry? Competitive rivalry is a measure of the extent of competition among existing firms. Intense rivalry can limit profits and lead to competitive moves, including price cutting, increased advertising expenditures, or spending on service/product improvements and innovation.

Detailed explanation-3: -If the industry’s fixed costs are high, then competitive rivalry will be intense. Additionally, rivalry will be intense if the industry’s products are undifferentiated or are commodities. If brand loyalty is insignificant and consumer switching costs are low, then this will intensify industry rivalry.

Detailed explanation-4: -Competitive rivalry is the measurement or intensity of competition between companies in the same field or industry. Some competitive rivalry is often healthy for all businesses involved, as it encourages product and service innovation and discourages unnecessary price increases for customers.

Detailed explanation-5: -However, high fixed costs are not. This is because they actually decrease competition. This leads to less rivalry between the companies on the market.