KPIs

Dear Sir,

Please find below and comment on my answer to a hypothetical question: ‘Comment on the threat of new entry for a firm that has 60 percent of its revenue from patented product and services’

My answer:

The threat of barrier is high as new entrants cannot enter the market with a similar name and erode market share and profit; at least in the short run

The strength of the barrier would depend on the the duration of the patent and whether the percentage of revenue from patent is increasing or decreasing.

Thanks