Supplier or Buyer Power 91211

Supplier or Buyer Power 91211 - Supplier concentration...

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Supplier or Buyer Power How suppliers or customers extract value Buyer Power Buyer concentration and volume of purchases Few vs. many customers Product differences Likelihood of finding equivalent product Availability of substitutes Price/performance tradeoffs Threat of backward integration Ability to become a competitor Switching costs Threat of switching suppliers Price Sensitivity (Not technically a source, but reason for exercising buyer Supplier Power
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Unformatted text preview: Supplier concentration (e.g., Microsoft) Few vs. many suppliers Supplier volume (e.g., Campbells and Storehouse Markets) Large vs. small purchase decisions Product differences (e.g., ethical drug manufacturers vs. generic drug manufacturers) Dependence on unique features Threat of forward integration Ability to become competitor Large vs. small switching costs (e.g., Bloomberg terminals)...
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This note was uploaded on 04/03/2012 for the course BUS M 498 taught by Professor Rogermccarty during the Winter '11 term at BYU.

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