When does a buyer typically have more substitutes available?

A buyer typically has more substitutes available when there are many options in the market. This scenario implies that there is a higher level of competition and diversity among products, allowing consumers to choose from a range of alternatives that can fulfill their needs. The availability of numerous options means that if one product does not meet a buyer’s preferences or requirements, they can easily select another that does.

This concept is important in understanding market dynamics and buying behavior. A saturated market promotes competition among suppliers, which can lead to better pricing, quality improvements, and innovation. In contrast, in a market with limited choices, buyers may find themselves restricted in their options, often leading to a situation where they have to compromise on their preferences.

The other scenarios, such as highly specialized products, suppliers having little power, or products being available in a single market, do not enhance the buyer's access to substitutes. Highly specialized products often have few or no alternatives, while limited market access and supplier power can further restrict options for buyers.