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These services and products are normally sold on a pre-need or at-need basis. With a pre-need arrangement, customers pay in advance for the services and products. Under an at-need basis, payment is received at the time of death. The revenues in this industry are relatively predictable because:
'-Death rates are driven by demographic factors
'-Lack of price competition due to difficult new.....
hreat of new entrants:
The barriers to entry are high due to high fixed costs, lack of history in the local community, zoning regulation, and "not-in-my-back-yard" protests.
Power of suppliers:
Funeral consolidators such as Loewen group can put a great deal of pressure on suppliers to reduce prices...
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