According to Porter's Five Forces Model, in Which of the Following

question 28

Multiple Choice

According to Porter's five forces model, in which of the following situations would a supplier have the highest bargaining power?

• A) a Houston-based vendor is the only supplier of a patented material for many smartphone manufacturers
• B) a fashion brand's outlet catering to a niche market
• C) a restaurant that serves only army veterans
• D) a large retailer buying finished goods from many small suppliers

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Definitions:

Trading In

The action of exchanging an old product for a discount on a new purchase.

Repairs

Expenditures to restore equipment, machinery, or property to its previous condition or to keep it in operational status without enhancing its value or extending its life.

Office Equipment

The furniture, computers, machines, and other tools used in offices for operational purposes.

Freight Costs

Charges incurred for transporting goods between locations, typically from the manufacturer to the buyer.