Q50
If it is easy for competitors to enter the market, the threat of new entrants is considered:
A.
High
AnswerB.
Low
C.
More
D.
Less
Answer: Option A
Solution
Answer: Option A
Solution:
If it is easy for competitors to enter the market, the threat of new entrants is considered high. Threat of new entrants refers to the threat new competitors pose to existing competitors in an industry. Therefore, a profitable industry will attract more competitors looking to achieve profits.