Inputs have little impact on costs (O2)

Home Five Forces Analysis Index O2 - Five Forces Analysis Inputs have little impact on costs (O2)

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When inputs are not a big component of costs, suppliers of those inputs have less bargaining power. Low cost inputs positively affect O2. …

Five Forces Analysis Survey This statement has a significant impact? Has a positive impact over the long term? Has a negative impact over the long term? Has a positive impact over the short term? Has a negative impact over the short term? This statement leads to reduced costs? This statement leads to increased costs? This statement leads to increased profits? This statement leads to decreased profits? Easy to defend this advantage? Easy to overcome this disadvantage? Difficult to defend advantage? Difficult to overcome this disadvantage? Affected Investments

Bargaining Power of Suppliers: Inputs have little impact on costs (O2)
When inputs are not a big component of costs, suppliers of those inputs have less bargaining power. Low cost inputs positively affect O2.

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