The bargaining power of buyers depends on the:

• A. amount of advertising by sellers
• B. level of government regulation in the market
• C. number of alternative products available to buyers
• D. production costs faced by suppliers

Answer: (C)

Verified step by step guidance

1. Understand the concept of bargaining power of buyers: it refers to the ability of buyers to influence the terms and conditions of a purchase, such as price, quality, and service.
2. Identify factors that affect buyers' bargaining power. Key factors include the availability of alternative products, the concentration of buyers relative to sellers, and the importance of each buyer to the seller.
3. Analyze each option given: advertising by sellers mainly affects demand but does not directly increase buyers' bargaining power; government regulation can influence market conditions but is not a direct determinant of buyer power; production costs affect suppliers' pricing but not buyers' bargaining power directly.
4. Focus on the number of alternative products available to buyers: when many substitutes exist, buyers can easily switch to another product, increasing their bargaining power.
5. Conclude that the number of alternative products is the primary factor among the options that directly increases the bargaining power of buyers.