BSAS Morning # 33

In this question, the CFO said ““if we could just price a few more rivals out of the market, we are likely to be in a much better position five to ten years down the road.” However, I recall reading in my Stalla notes that if you reduce the number of competitors, it will attract even greater competition to the market.

yes, eliminating rivals is not a good strategy, just attracts new entrants.

I have not read the question, but it could also depend on ease of entry into that market by competitors.

idreesz Wrote: ------------------------------------------------------- > I have not read the question, but it could also > depend on ease of entry into that market by > competitors. It does not specifically say, all it provides is the industry (water bottling).