Industry Rivalry - Bargaining power of buyers

Sandra Reed
Mind Map by Sandra Reed, updated more than 1 year ago
Sandra Reed
Created by Sandra Reed almost 6 years ago
15
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Professional PHR SPHR Mind Map on Industry Rivalry - Bargaining power of buyers, created by Sandra Reed on 02/17/2015.

Resource summary

Industry Rivalry - Bargaining power of buyers
1 Bargaining power of buyers
1.1 Low differentiation in the products of the company and its competitors, for example in the case of commodity
1.2 Low switching costs for the customer in the case of a supplier change
1.3 High availability of substitutes: substitutes are available or customers have sufficient knowledge of alternative suppliers or materials
1.4 High significance of the sale of the company, which means the purchasing volume of a customer makes a high proportion of total sales of the company
1.5 Low impact of the product on cost position or differentiation of customers
1.6 High customer concentration: Oligopolistic (or even monopolistic) market structure at the customer leaves the company little alternative outlets and makes it easier for customers to enforce low prices.
1.7 High risk of backward integration: The customer can credibly threaten to even produce the corresponding products
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