PPT Slide

Intense rivalry often plays out in the following ways:

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Jockeying for strategic position

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Using price competition

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Staging advertising battles

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Making new product introductions

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Increasing consumer warranties or service

Occurs when a firm is pressured or sees an opportunity

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Price competition often leaves the entire industry worse off

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Advertising battles may increase total industry demand, but may be costly to smaller competitors

Intensity of Rivalry Among Existing Competitors

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