Which of the following is not one of the examples of Porter's threat of substitute products and services?
A)Relative performance of substitutes.
B)Relative price of substitutes.
C)Switching costs.
D)Buyer propensity to substitute.
E)Economies of scale.

Question

Quizplus · Accepted Answer

Economies of scale is not an example of Porter's threat of substitute products and services. Rather, it relates to the cost structure of a company and how it can achieve cost advantages through increasing the scale of production. The other examples (A-D) all relate to the factors that influence the likelihood of customers switching to substitute products or services.

Which of the Following Is Not One of the Examples