INTRODUCTION TO ENTREPRENEURSHIP
ENTREPRENEURIAL PROCESS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The intensity of rivalry among existing firms is characterized to the following factors except one:
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Diversity of rivals.
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Number of competing firms.
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Characteristics of the products or services.
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The product represents a high percentage of the buyer’s cost.
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Explanation:
Detailed explanation-1: -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-2: -Porter’s competitive intensity determines the level of rivalry existing in a particular industry. This competition can be influenced by several factors, including the concentration of the industry, cost of switching, fixed costs, and the rate of industrial growth.
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