The threat of new entrants is high when it is:
A. Hard for customers to enter the market
B. Hard for competitors to enter the market
C. Easy for competitors to enter the market
D. Easy for customers to enter the market
Answer: Option C
Solution(By Examveda Team)
The threat of new entrants is high when it is Easy for competitors to enter the market. A high threat of new entrants makes an industry less attractive – there are low barriers to entry. Therefore, new competitors are able to easily enter into the industry, compete with existing firms, and take market share. There is a reduced profit potential as more competitors are in the industry.Related Questions on eCommerce
The dimension of e-commerce that enables commerce across national boundaries is called _______.
A. interactivity
B. global reach
C. richness
D. ubiquity
Which of the following describes e‐commerce?
A. Doing business electronically
B. Doing business
C. Sale of goods
D. All of the above
Which of the following is part of the four main types for e‐commerce?
A. B2B
B. B2C
C. C2B
D. All of the above
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