Just How Strong the Competitive Pressures Are from Substitute Products

question 111

Multiple Choice

Just how strong the competitive pressures are from substitute products depends on:

• A) whether the substitutes are strongly or weakly differentiated and whether the relative frequency of buyer purchases is high or low.
• B) whether attractively priced substitutes are readily available and the ease with which buyers can switch to substitutes.
• C) whether the available substitutes are products or services.
• D) whether the producers of substitutes have ample budgets for new product R&D.
• E) the speed with which buyer needs and expectations are changing.

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