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Author Question: Describe the factors in Michael Porter's Five Forces Model that affect the ability of any firm in an ... (Read 89 times)

c0205847

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on: Jul 1, 2018
Describe the factors in Michael Porter's Five Forces Model that affect the ability of any firm in an industry to earn a profit.
 
  What will be an ideal response?

Question 2

The Stackelberg model is more appropriate than the Cournot model in situations where
 
  A) there are more than two firms.
  B) all firms enter the market simultaneously.
  C) one firm makes its output decision before the other.
  D) firms will be likely to collude.


vkodali

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Reply #1 on: Jul 1, 2018
Answer to Question 1

Threats of new entrants into the industry, bargaining power of a firm's customers, bargaining power of a firm's suppliers, threats of substitute products from other industries, and intramarket rivalry from other firms in the industry.

Answer to Question 2

C


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