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KlenZing Services, a pest control firm, wants to increase customer loyalty by offering extra services like fumigation and window cleaning free for three months after an order
- KlenZing Services, a pest control firm, wants to increase customer loyalty by offering extra services like fumigation and window cleaning free for three months after an order. Which of the five forces in Porter's model is being addressed here?
- 43. Which of the following products/services is most likely to face the lowest threat of substitutes?
- 44. Which of the following is most likely to have the highest threat of substitution?
- 45. Which of the following situations represents strong bargaining power of suppliers?
- 46. Identify a situation where rivalry would be a weak force.
- 47. A new drug that has shown promise in curing lung cancer has been discovered by a famous chemical laboratory. This is the only drug effective for treatment of this disease. The laboratory obtains a patent for the product and decides to sell it. This situation is characterized by a ________.
- 48. Bargaining power of customers is likely to be the highest for ________.
- 49. The automobile industry is characterized by many manufacturers and intense competition among them. This statement represents ________.
- 50. An automobile company decides to improve the quality of all its products and bring more variety into its product line. The company has decided to adopt ________.
- 51. Focused differentiation occurs when ________.
Expert Solution
- KlenZing Services, a pest control firm, wants to increase customer loyalty by offering extra services like fumigation and window cleaning free for three months after an order. Which of the five forces in Porter's model is being addressed here?
threats of new entrants
- 43. Which of the following products/services is most likely to face the lowest threat of substitutes?
A: Patients use the only drug for their type of cancer
Ex: IRS- do not need to worry about anyone else trying to do their job
-limited options
- 44. Which of the following is most likely to have the highest threat of substitution?
A: Frequent-Traveler's CHOICE of Auto Rental (a strong force of substitution is where there are plenty of other options)
- 45. Which of the following situations represents strong bargaining power of suppliers?
A: College Students buying gasoline (sellers have power over consumers) or other seller markets
- 46. Identify a situation where rivalry would be a weak force.
A: Internal Revenue Service (IRS) monopoly
- 47. A new drug that has shown promise in curing lung cancer has been discovered by a famous chemical laboratory. This is the only drug effective for treatment of this disease. The laboratory obtains a patent for the product and decides to sell it. This situation is characterized by a ________.
A: weak force - threat of substitution; there is no substitution
- 48. Bargaining power of customers is likely to be the highest for ________.
A: Toyota's purchase of auto paint, Weak force, When the customer has power
- 49. The automobile industry is characterized by many manufacturers and intense competition among them. This statement represents ________.
rivalry
- 50. An automobile company decides to improve the quality of all its products and bring more variety into its product line. The company has decided to adopt ________.
industry wide differentiation
- 51. Focused differentiation occurs when ________.
A: A product has a better product/service within an industry segment.
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