The milk$/$dairy processing industry contains companies that process milk and dairy products and sell them to retailers like WalMart, Target and Kroger. Some of the products sold include whole milk, skim milk, buttermilk, and whipping cream. BORDEN'S MILK has been a recognizable milk$/$dairy processor in the U$.$S$.$ for decades and could be found in all grocery stores. The iconic Elsie the Cow logo$/$character was one of the most recognizable food characters in the $20$th century. Recently, Borden's has filed for bankruptcy protection as a result of a deterioration of performance due to decreased demand for its products. One main reason is due to Borden's main customers like WalMart and Kroger starting their own dairy operations and providing their own milk to customers under their private label brands. The reason offered above highlights which of the following dynamics in a Porter's Five Forces model.

Question $17$Answer

a$.$

forward integration by powerful buyers

b$.$

threat of new entrants

c$.$

increasing intensity of rivalry

d$.$

backward integration by powerful buyers

e$.$

both A & C