GK
BUSINESS ECONOMICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Power of Wholesaler
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Power of Retailer
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Power of Seller
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Power of Consumer
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Detailed explanation-1: -An assessment of how easy it is for buyers to drive prices down. This is determined by: the number of buyers in the market; the importance of each individual buyer to the business; and the cost to the buyer of switching from one supplier to another.
Detailed explanation-2: -What is Buyer Power? Buyers have the power to influence price and the quantity of products sold. Powerful buyers can bargain on volume or switching costs or they can find substitute products. Price sensitivity also impacts the buyer/seller relationship.
Detailed explanation-3: -Buyer power refers to a customer’s ability to reduce prices, improve quality, or “generally play industry participants off one another.” Buyer power examples include larger and influential customers demanding higher-quality products for lower prices.