CIPS Achieving Competitive Advantage Through the Supply Chain (L5M7) L5M7 Question # 22 Topic 3 Discussion
L5M7 Exam Topic 3 Question 22 Discussion:
Question #: 22
Topic #: 3
Guppy Fish Ltd manufactures machinery. A rival is releasing automated technology that could replace manual operation. What type of threat does this pose?
According toPorter’s Five Forces, new automated competitors represent athreat of new entrants, introducing innovation and market pressure.
Short cited extract: “New entrants increase competition and threaten existing players.” (L5M7 Study Guide, p.56)
[Reference:CIPS L5M7 Study Guide, p.56., , ]
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