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