In Porter’s Five-Forces Model, when barriers to entry increase, then
â€¢ Bargaining power of suppliers increases,
â€¢ Threat of new entrants decreases.
â€¢ Bargaining power of buyers becomes nullified.
â€¢ Rivalry among competitors enters an equilibrium.
â€¢ None of the above
– The case of Millennium Pharmaceuticals discussed in the HBR article titled “Negotiating strategic alliances” best illustrates all of the following lessons, except that new ventures should —-
â€¢ seek to diversify partner risk
â€¢ build momentum through a sequence of deals
â€¢ leverage core assets to develop multiple “partnerable” applications
â€¢ aim to create win-win solutions and structure agreements so that both parties are successful
â€¢ seek to avoid multiple bidders