The-definition.com

Definition

Barriers to Entry

 Barriers to Entry are the obstacles that a firm must overcome to enter an industry. The barriers can be tangible or intangible. The tangible barriers include capital requirements, technological know –how ,resources, and the laws regulating entry into an industry. The intangible barriers include the reputation of existing firms, the loyalty of consumers to existing brands, and access to the managerial skills required for successful operation in an industry.

Share it:  Cite

More from this Section

  • Information overload
    It is not possible to fully read and respond to each message without facing information ...
  • Immediate corrective action
    Immediate corrective action that addresses problems at once to get performance back on ...
  • Quality
    Quality as the ability of a product or service to reliably do what it’s supposed to ...
  • Decision criteria
    Criteria that define what’s important or relevant in resolving a problem, is called ...
  • Pay-for-performance programs
    Pay-for-performance programs are variable compensation plans that pay employees on the ...