Michael Porter argued in his paper on the influence of the Internet on the Five Forces Model, that the Internet _______________.Question 20AnswerSelect one or more:a.expands the size of the market, decreasing the threats of substitutesb.allows companies to have access to more suppliers, increasing the bargaining powerc.reduces differences among competitors, increasing rivalry•d.allows entrants from other industries to enter the market, decreasing the barriers of entry

The answer is:

c. reduces differences among competitors, increasing rivalry d. allows entrants from other industries to enter the market, decreasing the barriers of entry

Explanation:

1. Michael Porter, in his paper on the influence of the Internet on the Five Forces Model, argued that the Internet reduces differences among competitors, thereby increasing rivalry. This is because the Internet makes information more accessible, allowing companies to easily copy each other's innovations and compete on a more level playing field.

2. He also argued that the Internet allows entrants from other industries to enter the market, thereby decreasing the barriers to entry. This is because the Internet reduces the need for physical infrastructure and allows companies to reach a global audience with relatively low investment.

3. While the Internet can potentially expand the size of the market, it doesn't necessarily decrease the threat of substitutes. In fact, the Internet can increase the threat of substitutes by making it easier for customers to find and switch to alternative products or services.

4. Similarly, while the Internet can potentially give companies access to more suppliers, it doesn't necessarily increase their bargaining power. In fact, the increased transparency and competition facilitated by the Internet can often reduce a company's bargaining power with suppliers.