On the other hand, the bargaining power of suppliers is low, as there is a huge network of suppliers who are providing a vast array of products to the supermarket industry. Due to intense competition, the bargaining power of customers is high, as they have a variety of options for stores where they can buy the groceries from. Furthermore, it would be difficult for a new entrant to maintain competitive prices for products, as many of the products sold at the supermarkets are imported from other countries and the prices keep fluctuating (Gaille, 2018). For a new entrant, it is extremely difficult to enter the supermarket industry as the dominating chains present huge barriers in terms of initial capital requirement, as well marketing expenses to create awareness of their existence. The competition is intense, since the product differentiation among them is low. All three players are operating as chains and are spread across different locations in Singapore (Gaille, 2018). Sheng Siong Supermarket is among the top players which dominate the supermarket industry, along with NTUC FairPrice Coop and Dairy Farm International Holdings. The Porter’s Five Forces will help in understanding the competitive landscape, specifically in the supermarket industry. Porter Five Forces Analysis of the Supermarket Industry
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