Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 2

Power of the buyer is High

When: High Low

Concentration of buyers relative to suppliers is x

Switching cost are x

Product differentiation of suppliers is x

Threat of backward integration by buyers x

Extent of buyer’s profit is x

Importance of the suppliers input to quality of the buyer’s final product is x

Bargaining power of buyer is refers to the pressure that customers/consumers can put on businesses to
get them to provide higher quality products, better customer service, and/or lower prices.

The Concentration of buyers relative to suppliers is high because our supplier is the Maynilad water
service and most of the people are satisfied on it

and there is no switching cost on buyer that’s why we mark it low.

Product differentiation of suppliers is low because the price between other refilling station is so
insignificant that buyers can switch the product at no cost and

buyers cannot threaten credibly to integrate backward therefore the buyer power is low.

The Extent of buyer’s profit is low because a strong buyer can make an industry more competitive and
decrease profit potential for seller

and lastly the Importance of the suppliers input to quality of the buyer’s final product is high because
Aquafera represent high efficiency purification system to ensure the safety and satisfaction of
customers.

To discuss the bargaining power of supplier may I call on miss kaye armojallas

You might also like