Which of the Following Statements About Rivalry in the Context

Multiple Choice

Which of the following statements about rivalry in the context of established companies is true?

A) It significantly reduces the costs of established companies.
B) It squeezes profits out of an industry.
C) It enables companies to lower their spending on non-price-competitive strategies.
D) It forces companies to reduce prices when it is less intense.
E) It is unaffected by the demand conditions of an industry.