When using Porter's five forces model of competition to analyze this industry, you would say that the potential threat of new entrants in this industry is a force because of the low entry barriers.

Strong force

Explanation:

According to Porter there are five forces which measure the intensity of competition in industry and its impact on profitability of industry. There are mainly divided into two type competition one is horizontal and other one is vertical competition, horizontal competition has main threats, one from new entrance, second from substitute product or services and third is establishment from rival parties and competitors.  So In this threat from new entrance is strong force as profit of industry will divided, and this new entrance is due to low entry barrier for new market.

answer; (b) capitalism;

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