One of the things that surprised me in this weeks reading was that high rivalry can actually negatively affect the businesses that are competing. It can drive down a company's profit potential and it also limits the profitability of whatever industry the high rivalry is in. This came to a surprise because I always believed that the more rivalry there was between companies, the better it is.
A thing that was confusing to me is the relevant industry. I din't fully understand what the relevant industry is and it is defined.
The two question I have for the author are:
1. Do different industries require a different amount of rivalry to be able to amount to the best profitability of that industry or are they all about the same?
2. How commonly do people make mistakes in defining the industry?
I did not see anything wrong in what the author wrote, especially since this the first time I am learning about this.
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