Rivalry: HighHigh Storage Costs/Highly Perishable Products : Limcoma products are not considered as highly perishable products since it can be stored for a couple of months but the raw materials composing the finished products (soybean meal, etc.) are considered to be highly perishable. It cause the producer to produce and sell products. Therefore, competition for customers arise.Low level of product differentiation: . Feeds are products that are not that differentiated as it only varies on the formulation but basically composed of the same ingredients.Low swithching costs: Customers can easily switch from one brand of feeds into another therefore providing a low switching cost as caused mainly by low level of product differentiation.Strategic stakes are high: The firm has a potential for great aims as it has its members as their primary customers and accomodating walk-in customers which are not necessarily members, providing the firm a higher market shareHigh Exit Barriers: The giant silo of the firm is a concrete evidence that the firm has a high cost of abandoning the product. The silo is specialized in nature that cant be sold to any industries. There are high exit barriers therefore firm must compete.