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how much will it cost for the latest technology?
• Ease of access to distribution channels e.g. Do our competitors have the distribution channels sewn up?
• Cost advantages not related to the size of the company e.g. personal contacts or knowledge that larger companies do not own or learning curve effects.
• Will competitors retaliate?
• Government action e.g. will new laws be introduced that will weaken our competitive position?
• How important is differentiation? e.g. The Champagne brand cannot be copied. This desensitises the influence of the environment.
The power of buyers...
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