Question

The costs of producing steel have declined substantially from building a conventional hot-rolled steel mill down to the new minimill technology that requires only scrap metal, an electric furnace, and 300 workers rather than iron ore raw materials, enormous blast furnaces, rolling mills, reheating furnaces, and thousands of workers. Which of the following forces in Porter's Five Forces framework would suggest that this technology increase potential industry profitability? O The power of buyers O The threat of substitutes O The power of suppliers O The intensity of rivalrous tactics O The threat of entry

Answer 1

Ans ) D the intensity of rivalrous tactis

Reason it includes Sustainable competitive advantage through innovation, Competition between online and offline organizations etc. when innovative technology introduces then it simultaneously decreases cost to produces the same products  and increase the profitability of organization.