Answer:
I have attached the full question with multiple choices:
The company is likely to be very profitable as long as the threat to entry is very low.
Explanation:
As indicated in the question, the fact that power of buyers and suppliers implies that the company Lu runs has a higher bargaining power such that it is able to dictate prices for both buyers and suppliers,which would improve overall profitability.
On the other hand , the threat of substitutes being low means that company would likely retain most of its customers provided also that the barriers to entry are also high-threat of entry is low.
