The five competitive forces model suggests the threat from potential entrants affects industry competition.

Part $2$

How might an existing firm deter entry of new$$ firms?

Part $3$

An existing firm might

Part $4$

A$.$

collude with competitorscollude$$with$$competitors

to raise prices.

B$.$

downsize to produce less output.

C$.$

charge higher prices to increase profits.

D$.$

engage in price leadership for price matching.

E$.$

build a larger store to produce more outputbuild$$a$$larger$$store$$to$$produce$$more$$output$.$