Asked by Angelica Golebiewski on May 06, 2024
Verified
Buyer power is _________ when buyers have many choices from whom to buy and _________ when buyers have few choices.
A) high; high
B) high; low
C) low; high
D) low; low
Buyer Power
The influence that customers have over a producing industry, often determining the market value and ensuring that services and products meet their needs.
Buyers
Individuals or entities that purchase goods or services for personal use or organizational needs.
Choices
The range of different options or decisions from which an individual can select or make a decision.
- Gain insight into the relationship between supplier and buyer power in competitive industry environments.
Verified Answer
LS
Leslie SandovalMay 09, 2024
Final Answer :
B
Explanation :
Buyer power is high when there are many choices from whom to buy because buyers can easily switch to another seller if they are not satisfied with the price, quality, or service. Conversely, buyer power is low when there are few choices, as buyers have limited alternatives and are more dependent on the sellers available.
Learning Objectives
- Gain insight into the relationship between supplier and buyer power in competitive industry environments.