BCS BAPv5 Exam - Topic 5 Question 38 Discussion

Actual exam question for BCS's BAPv5 exam

Question #: 38
Topic #: 5

An overseas bank is currently undertaking a feasibility study looking into the possible launch of a new bank in the UK

Preliminary findings suggest that the market is saturated, customers have a lot of choice and it is easy for them to switch from one bank to another.

In which area of Porter's Five Forces model would these preliminary findings be documented'?

AThreat of new entrants

BBargaining power of customers

CBargaining power of suppliers

DThreat of substitute products

Show Suggested Answer

Suggested Answer: A

A consensus BAM is a conceptual model that depicts the agreed view of what the organisation does or should do. It shows the high-level activities and the logical dependencies between them. By comparing the consensus BAM with the current situation, a gap analysis can identify where the organisation is not performing as desired or where there are opportunities for improvement. Therefore, option A is the correct answer.

by Chery at Feb 12, 2025, 08:06 PM

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Nakita

8 months ago

Definitely B, customers have all the power right now!

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Sharita

8 months ago

I think the threat of new entrants is still a factor here.

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Lemuel

9 months ago

Wait, are we sure the market is really saturated?

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Viki

9 months ago

Totally agree, customers can switch banks easily.

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Gracia

9 months ago

Sounds like the bargaining power of customers is super high!

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Harrison

9 months ago

I’m a bit confused. I thought the threat of substitutes was more about alternative products, but this seems to focus on customer choice. Maybe it’s B?

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Erasmo

10 months ago

I practiced a question similar to this, and I believe it was about how customers can influence the market. So, I would go with the bargaining power of customers.

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Daron

10 months ago

I'm not entirely sure, but I remember something about the threat of new entrants being linked to market saturation. Could that be relevant here?

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Fredric

10 months ago

I think the findings about customers having a lot of choice and being able to switch easily relate to the bargaining power of customers, right?

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Jackie

10 months ago

I'm a little confused on this one. The question is asking about Porter's Five Forces, but the information provided doesn't seem to clearly point to one specific force. I might need to spend some extra time reviewing that framework before the exam to make sure I understand how to apply it properly.

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Johnetta

10 months ago

Okay, I think I've got this. The key details are the market saturation and ease of customer switching, which indicates high bargaining power for customers. So I'm going to go with option B, bargaining power of customers.

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Alishia

10 months ago

Hmm, I'm not totally sure about this one. The question mentions a saturated market and easy customer switching, but I'm not 100% confident that means it's the bargaining power of customers. I might need to review that part of Porter's model again before answering.

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Elliot

10 months ago

This one seems pretty straightforward. The question is asking about Porter's Five Forces, and the information provided clearly points to the bargaining power of customers as the relevant force.

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Quinn

1 year ago

Hmm, I was thinking the threat of new entrants, but bargaining power of customers makes a lot more sense given the market saturation. Option B it is!

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Giovanna

1 year ago

I'm going to have to go with B on this one. The bank might as well roll out the red carpet for customers with all that switching power they have!

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Jerlene

1 year ago

This one's a no-brainer. The findings are all about the customers, so the answer has to be B - bargaining power of customers.

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Antonio

1 year ago

So, it's definitely about the customers in this case.

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Jamal

1 year ago

That's true, the market being saturated gives customers more power.

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Stephane

1 year ago

Yeah, customers have a lot of choice and can easily switch banks.

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Olen

1 year ago

I think the answer is B - bargaining power of customers.

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Tomas

1 year ago

Definitely B. The market is saturated and customers can easily switch banks, which points to strong bargaining power of customers.

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Lucy

1 year ago

B) Bargaining power of customers

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Marisha

1 year ago

I agree, customers definitely have a lot of power in this market.

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Nobuko

1 year ago

D) Threat of substitute products

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Lenna

1 year ago

C) Bargaining power of suppliers

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Gladys

1 year ago

B) Bargaining power of customers

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Santos

1 year ago

A) Threat of new entrants

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Vilma

1 year ago

C) Bargaining power of suppliers

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Carmen

1 year ago

B) Bargaining power of customers

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Pamella

1 year ago

A) Threat of new entrants

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Alline

1 year ago

But wouldn't it also relate to the Threat of new entrants? If the market is saturated, it might be difficult for a new bank to enter.

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Kara

1 year ago

The preliminary findings seem to indicate high bargaining power of customers, so I would go with option B.

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Sheron

1 year ago

It's interesting to see how these preliminary findings align with Porter's Five Forces model.

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Elli

1 year ago

I think option B makes sense, as the findings suggest that customers have a significant impact on the market.

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Phuong

1 year ago

That's true, it would be important to consider how easy it is for customers to switch between banks.

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Alaine

1 year ago

I agree, customers having a lot of choice definitely increases their bargaining power.

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Shasta

1 year ago

I agree with Jina, customers having a lot of choice and easy switching indicates high bargaining power.

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Jina

1 year ago

I think the preliminary findings would be documented in the Bargaining power of customers.

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