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An attractive industry is one that is characterized by high entry barriers, suppliers and buyers with strong bargaining power, low threats from substitute products, and low rivalry among firms.?

1 Answer

5 votes

suppliers and buyers with strong bargaining power is the odd one out here.

Step-by-step explanation:

An attractive industry should be characterized by

  • high entry barriers
  • suppliers and buyers with less bargaining power
  • low threats from substitute products
  • low rivalry among firms

Only the above listed characteristics can provide the best profit and make the industry attractive.

  • If the suppliers and buyers have strong bargaining power, then the industry will have only very less profit, since the bargaining power is more.
  • Even if either a buyer or a supplier is strong enough to bargain it will lead to less profit only or in simple terms a loss to the industry.
User Nathan Kitchen
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