Sears, an American retail store, was the largest retaler $($measured by revenue$)$ in the United States until the $1990$s fa $2018.$

Sears filed for bankruptcy. Some commentators have argued that the rise of Amazon drove Sears to bankruptcy. Howkever, athers

argue that Sears was in decline long before Amazon became a dominant force in the market.

Consider each of the arguments given for Sears' downfall.

Sears management disregarded the impact of online retailers

entering Sears' market space.

Sears' management failed to consider the effect of services

not offered by Sears, such as second$-$day shipping, which was

offered by some online retailers.

Sears could not compete against the low prices and wide

variety offered by Walmart stores.

a$.$ This is an example of Sears failing to prepare for

price wars with existing competitors.

the threat of new entry into the retail space.

the tremendous bargaining power of online retailen,

non$-$price competition with existing competitors.

b$.$ This is an example of Sears failing to prepare for

substitute services that would be appealing to Sears

customer base.

the intensity of competition among existing

competitors.

sellers using their bargaining power to offer services

not available at Sears.

buyers using their bargaining power to demand new

services,

c$.$ This is an example of Sears failing to prepare for

new innovations leading to substirute products and

services.