Several factors can lead to high competition, including:
Market Saturation: When many businesses offer similar products or services, the market becomes saturated, leading to intense competition. Low Entry Barriers: Industries with low barriers to entry often see more competitors because itâs easier for new businesses to start up. Technological Advancements: Rapid technological changes can lower the cost of entry and operation, enabling more players to enter the market. Globalization: The increasing interconnectedness of global markets allows international competitors to enter local markets.