Identify the Five Most Common Threats Facing Firms from Their

question 37

Essay

Identify the five most common threats facing firms from their local competitive environment that are represented in the five forces framework,and discuss under what conditions firms in a specific industry are most likely to earn an above average profit and when they are to likely to earn a below average profit.

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Definitions:

Selective Attention

The cognitive process of focusing on a specific aspect of information while ignoring other perceivable information.

Distracted

A state of reduced concentration or diverted attention away from the primary task or subject.

Inattentional Blindness

A psychological phenomenon where an individual fails to perceive an unexpected stimulus in plain sight due to the focus of attention elsewhere.

Visible Objects

Items or entities that can be seen by the human eye under normal light conditions.