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g Which player is likely to have higher bargaining power: an established company shopping around for a new parts supplier, or a start-up company trying to sell its parts

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Answer: An established company shopping around for a new parts supplier

Step-by-step explanation:

A well established company that is shopping around for a new parts supplier will have greater bargaining power as more powerful companies usually do. This is because with well established companies, it is advantageous for suppliers to be the company's preferred suppliers as they will be sure that they have a stable consumer that will continually patronize them.

This is unlike a start-up company that is trying to sell its parts. As they are still at an early stage, they will have to offer less prices than already established suppliers in order to capture market share. They are therefore in a worse off position to negotiate.

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User Angordeyev
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