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POTENTIALENTRYOFNEWCOMPETITORS Lorealscompetitorsarecovergirls,avon,revlon,andsoonBesides,localcompetitorssuchassafi,sendayutinggi,andsoon.Thethreats:Lorealsproductsareluxuriesthatcouldbehurtbyaneconomicdownturn. howeverTheyareabletobeglobalandtoactlocal(marketleader)SuitResearch&DevelopmenttodifferenttargetgroupsHighqualityEffectivedistributionsystem Substituteproductsrefertoproductsinotherindustries.Athreatofsubstitutesexistswhenaproductsdemandisaffectedbythepricechangeofasubstituteproduct.Aproductpriceelasticityisaffectedbysubstituteproducts. POTENTIALDEVELOPMENTOFSUBSTITUTEPRODUCTSThenumberofchemicalsinshampooandotherbathandbodyproductsisfrightening.Yourskinisthelargestorganonyourbody.Whatevergetsputonyourskingetsabsorbedintoyourbody,intoyourbloodstreamandintoyourorgans,ashasbeenprovenbymanystudies.Essentially,whateveristoxictoputinyourmouthistoxiconyourskinaswell.

E xample: BARGAININGPOWEROFSUPPLIERS Bargaining strengthhighwhen:?Manybuyerandfewdominantsupplier?Undifferentiated,highvaluedproduct?Switchingcost?SubstituteproductareunavailableinthemarketplaceThepowerfulofsuppliertoanindustry,thelessprofitableth industry flow to be Bargacing power of consumers BargainingLeverageBuyerVolumeBuyerInformationBrandIdentityPriceSensitivityThreatofBackwardIntegrationBuyerConcentrationvs.IndustrySubstituteavailability BARGAININGPOWEROFCONSUMERSBuyersarePOWERFULif:BuyerareWEAKif:BuyersareconcentratedfewbuyerswithsignificantmarketshareProducercantakeoverowndistribution/retailingProductisstandardizedUniqueproductandbuyercannoteasilyswitchtootherproductBuyerpossesacrediblebackwar dintegrationthreattobuyproducingfirmorrivalM! anybuyershasnoinfluenceonproductorprice A theory of strategic anxiety that focuses on relating a firm to the competitive environment deep down which it plights. (The New Penguin railway line Dictionary, 2003) Competitive Rivalry If you close up the competitive environment in which you operate you could lose your...If you requisite to get a full essay, effect it on our website: BestEssayCheap.com

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