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Unformatted text preview: Degree of difference between products (substitutes? Interchangeable? Etc) Growth rate of an industry Level of fixed costs (large fixed costs means you have to pay a large amount of money every year. Should have a leveled fixed cost. Can be detrimental) Bargaining Power of Suppliers Supplier concentration Switching costs Attractiveness of substitutes (if you can get similar product from another supplier) Threat of forward integration Bargaining Power of Buyers Buyer group concentration Buyer’s costs Degree of standardization of supplier’s products Threat of backward integration Application of the Five Forces Model (picture is online on website) (another picture from book)...
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This note was uploaded on 09/09/2011 for the course ECON 138 taught by Professor Staff during the Fall '08 term at University of California, Santa Cruz.
- Fall '08
- Economies Of Scale