Chapter 3 explores the concepts related to outside company threats to business by competitors. Dupont is a large player in the oligopolistic industry of bulk chemical production and sales. There are few players in this industry and Dupont is not the largest. The cost of entry is very high. BASF corporation leads the pack with a net income of 5.6B last year and more than 110,000 employees world wide. Second is Dupont with 3.6B in net income last year. Then DOW chemical closely follows with 3.4B last year. Exxon mobile desires an honorable mention for its industrial chemicals business unit, however it's financials are private.
Dupont should be concerned with a high threat of rivalry, compared to a low threat of entry. These chemical titans are in constant competition for market share. The threats from whole buyers are sellers are shared among the industry leaders.
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