What are the issues for evaluating potential threat of entry
What are the issues for evaluating the potential threat of entry?
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Whether an company’s entry barriers ought to be measured low or high and how hard it is for novel entrants to fight on a level playing ground based on the resources and competencies obsessed by the pool of potential entrants.
For evaluating the potential threat of entry, the company managers must look at:
a. How frightening the entry barriers are for each kind of potential entrant.
b. How attractive the growth and benefit prospects are for the new entrants.
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