STM QUIZ 2 CH3 SP24

Rivalry increases when buyer demand is growing slowly or declining.

• T

• F

Rivalry gets tougher when companies have lots of extra products they can't sell or when they have many machines and equipment not being used.

• T

• F

Rivalry decreases as it becomes less costly for buyers to switch brands.

• T

• F

Rivalry intensifies as the number of competitors decreases and they become more equal in size and capability.

• T

• F

Customers' strong brand preferences and high degrees of loyalty to sellers make it harder for new entrants to break into the marketplace.

• T

• F

Entering some markets costs a lot of money, which makes it hard for new companies to successfully break into the marketplace.

• T

• F

It Is harder for new businesses to enter the market when customers don't really care about specific brands and are not very loyal to any one seller.

• T

• F

Restrictive regulatory policies do not stop new businesses from entering regulated industries like cable TV and telecommunications.

• T

• F

When there are good alternatives that are easy to get and have good prices, it puts more pressure on companies to keep their prices low.

• T

• F

When it's easy for people to switch to subsitute products without much trouble or cost, it is easier for subsitutes to attract buyers.

• T

• F