Question 1 0.5 pts 1. Barriers to entry benefit existing companies already operating in an industry because barriers to entry: Protect an established company's revenues and profits from being whittled away by new competitors Increase industry competition Increase the number of substitute products for a company's products Reduce government regulation of an industry Question 2 0.5 pts 2. An example of a barrier to entry is: Low capital requirements Customer loyalty An industry where pure competition exists An industry where the costs of exiting the industry are low