Question

Which of the following do not qualify as potential driving forces capable of inducing fundamental changes in industry and competitive conditions?
A) Changes in who buys the product and how they use it, and changes in the long-term industry growth rate.
B) Changes brought about by the entry or exit of major firms, product innovation, and marketing innovation and cost efficiency.
C) Changes in the economic power and bargaining leverage of customers and suppliers, growing supplier-seller collaboration, and growing buyer-seller collaboration.
D) Changes in buyer preferences for differentiated products instead of mostly standardized or identical products.
E) Changes in economies of scale and experience curve effects brought on by changes in manufacturing technology and new Internet capabilities.

Answer 1

Answer:

C) Changes in the economic power and bargaining leverage of customers and suppliers, growing supplier-seller collaboration, and growing buyer-seller collaboration.

Explanation:

Competition is the process by which firms in a market use their unique characteristics to gain a larger market share from other firms.

They use competitive advantages like price, quality, service, and so on to attract more customers to them.

As far as customer still buy the same products, major firms do not come into the market, and new innovation is not introduced, the competitive conditions in the market will be maintained.

A changes in the economic power and bargaining leverage of customers and suppliers will not change competitive climate. Because buyers are not changing preferences.

They maintain the suppliers they were doing business with.