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Homework answers / question archive / Which factors predict the degree of rivalry between a pair of competitors? a
Which factors predict the degree of rivalry between a pair of competitors?
a. Market Commonality
b. Cost Structure
c. Resource Similarity
d. Organizational Structure
The correct answer is b. Cost Structure
Cost structure predict the degree of rivalry between a pair of competitors in the market. Cost structure indicates the different type of expenditure or spending expenses a business acquire and involves all type of fixed and variable cost associated with the business. Cost structure for different organization are different. The organization whose cost structure is better organized is more competitive and strong in the market than those whose are not that well organized.