on Business Strategy 7 End of Chapter Problem Sears, an American retail store, was the largest retailer (measured by revenue) in the United States until the 19905. In 2018, Sears led for bankruptcy. Some commentators have argued that the rise of Amazon drove Sears to bankruptcy. However, others argue that Sears was in decline long before Amazon became a dominant force in the market. -e.cr'u|ian Learrm 7\" Consider each of the arguments given for Sears' downfall. Sears' management disregarded the impact of online retailers entering Sears' market space. a. This is an example of Sears failing to prepare for O the tremendous bargaining power of online retailers. 0 price wars with existing competitors. 0 the threat of new entry into the retail space. (j nonprice competition with existing competitors. Sears' management failed to consider the e'ect of services not offered by Sears, such as secondday shipping, which was I'- This is an 9'um ofSears failing toprepare for o'ered by some online retailers. 0 sellers using their bargaining power to offer services not available at Sears. 0 substitute services that would be appealing to Sears' customer base. 0 buyers using their bargaining power to demand new services. 0 the intensity of competition among existing competitors. Sears could not compete against the low prices and wide variety offered by Walmart stores. 1:. This is an example of Sears failing to prepare for 0 new innovations leading to substitute products and services. 0 the threat of new entry into the retail space. 0 the intensity of competition among existing competitors. 0 buyers using their bargaining power to demand lower prices