the intensity of rivalry among existing firms is characterized to the following factors except one.
A. Diversity of rivals C. Characteristics of the products or services
B. Number of competing firms D. the product represents a high percentage of
the buyer's cost.
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Answered by
19
Answer:
d) the product "...
Explanation:
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Answered by
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Option (d). "The product represents a high percentage of the buyer's cost" is not a factor to determine intensity of rivalry between existing firms.
Factors affecting rivalry among existing firms:
- The rivalry among existing firms represents the scope of competition among the existing firms.
- "Diversity of rivals" refers to competitors who have a diverse background, culture, history, and relations. It affects the rivalry among the competitors.
- "Characteristics of the products and services" also affect the rivalry among the competitors as the customers may prefer the characteristics of one company's product over another.
- "Number of competing firms" decides the level and intensity of the rivalry as more firms will lead to more competition.
- However, "the product represents a high percentage of the buyer's cost" is not an aspect in considering the intensity of rivalry among existing firms.
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