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The competitive pressures from substitute products tend to be stronger when
 
a. buyers are relatively comfortable with using substitutes and the costs to buyers of switching over to the substitutes are low.
 
b. there are more than 10 sellers of substitute products.
 
c. the quality and performance of the substitutes is well above what buyers need to meet their requirements.
 
d. buyers have high psychic costs in severing existing brand relationships and establishing new ones.
 
e. demand for the industry's product is not very price sensitive.

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Keith Leannon
Keith LeannonLv2
6 Apr 2020
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