Dependency of substitute products of competitive pressures
Illustrates the dependency of substitute products of competitive pressures from vendors?
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Just how strong the competitive pressures are from vendors of substitute products depends on three factors:
i. Whether substitutes are attractively priced and readily available.
ii.Whether buyer’s outlook the substitutes as being comparable or better in provisions of, performance, quality and other relevant attributes.
iii. How much it costs end-users to switch to substitutes.
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