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Essay text:
The rivalry among the five firms seems to have intensified due to the following observed industry characteristics:
1. The little growth potential for metal cans in the 1990s and the analysts' expectations of plastics as the "growth segment for containers."
2. Since they all produced mostly two-piece cans and catered to the metal beverage containers market, there appears to be a low product differentiation among the five firms.
3. The asset specificity of the industry creates a high exit barrier where the equipment is highly specialized that the firms may have a difficult time selling to buyers from other industries...
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