Question

1 multiple choice 2 points
apply porters 5 forces model to this situation.
which of the following is likely to be of greatest help to your company if you operate in an industry with many available substitutes to your product or service?
finding and vetting more suppliers for your product components.
a search optimization service that increases the flow of web traffic to your company website
a customer loyalty program based on artificial intelligence
a buy - side marketplace that helps you obtain raw materials at the lowest price
2 multiple choice 2 points
you have to offer free wi - fi to customers if you operate a restaurant. this is a(n) ______.
entry barrier
buyer power
substitute product
supplier power

Explanation:

For question 1: Porter's 5 Forces model notes that many substitutes increase competitive pressure. A customer loyalty program helps retain existing customers, reducing the risk of them switching to substitutes, which directly addresses the threat of substitutes. The other options focus on supplier costs or web traffic, which do not mitigate the substitute threat as effectively.
For question 2: An entry barrier is a requirement or cost that new firms must meet to enter an industry. Needing to offer free Wi-Fi is a standard expectation for restaurants that new entrants must fulfill to compete, so it acts as an entry barrier. Buyer power relates to customer influence on prices, substitute products are alternatives, and supplier power is about supplier influence, none of which fit this scenario.

Answer:

1. A customer loyalty program based on artificial intelligence
2. Entry Barrier