According to Michael Porter, which of the following is a barrier to the entry of new companies into an industry?
A) vertical integration
B) horizontal integration
C) product differentiation
D) rapid manufacturing

Question

Quizplus · Accepted Answer

According to Michael Porter, product differentiation is a barrier to the entry of new companies into an industry because it allows established firms to differentiate their products from those of new entrants, making it harder for new entrants to attract customers. Vertical integration and horizontal integration are not necessarily barriers to entry, as they can be pursued by new entrants as well. Rapid manufacturing is a term that is not directly related to barriers to entry.

According to Michael Porter, Which of the Following Is a Barrier