A small e-commerce startup is entering a highly competitive online retail market. The market is dominated by a few large players with significant…

CA Intermediate · Financial Management and Strategic Management · MTP · May 2026
A small e-commerce startup is entering a highly competitive online retail market. The market is dominated by a few large players with significant market share. Which of the following forces is most likely to impact the startup's ability to compete effectively?
(A) Threat of new entrants
(B) Bargaining power of suppliers
(C) Threat of substitute products or services
(D) Rivalry among existing competitors

Suggested Answer and Working Notes:

Correct Answer: Option (D)

Rivalry among existing competitors

Topics: Part-A: Financial Management, Part B: Strategic Management

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