Porter's Five Forces Quiz

Which of the following is NOT one of Porter's Five Forces?

• Threat of new entrants

• Bargaining power of suppliers

• Competitive rivalry

• External environment

A high level of threat of new entrants in an industry is typically characterized by:

• High barriers to entry

• Low economies of scale

• Limited product differentiation

• All of the above

When bargaining power of buyers is high, it means:

• Customers have limited options

• Suppliers have more control

• Customers can easily switch to competitors

• All of the above

Competitive rivalry is most intense when:

• There are few competitors

• There are high switching costs for customers

• There is significant product differentiation

• All of the above

A threat of substitute products is high when:

• Customers have few alternatives

• Switching costs are high

• Substitutes offer similar benefits at a lower cost

• All of the above