Exit barriers are low (Starwood Hotels and Resorts)

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When exit barriers are low, weak firms are more likely to leave the market, which will increase the profits for the remaining firms. Low exit barriers are a positive for Starwood Hotels and Resorts. … This statements will have a short-term positive impact on this entity, which adds to its value. This qualitative factor will lead to an increase in costs. This statement will lead to a decrease in profits. "Exit barriers are low (Starwood Hotels and Resorts)" is an easy qualitative factor to overcome, so the investment will not have to spend much time trying to overcome this issue.

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