Tom and his family have developed a successful business selling a liquid spray fertilizer to farmers. The fertilizer consists of rich, organic, composted material. Recently NuBreed Seed, a national seed company, has been marketing a powdered chemical fertilizer to its customers; NuBreed's fertilizer is less expensive than Tom's product. NuBreed's efforts are an example of the ___ in Porter's model for industry analysis.
threats of substitute products and services
threats of new ideas
power of the suppliers
competitive rivalry among competitors
buyers' negotiating influence

The Porter's five forces model is used to analyze the competition level which can be faced by the company within an organization or with others in the market .

The five forces are as follows -

1 . Industry rivalry .

2. Bargaining power of supplier .

3. Bargaining power of buyer .

4. Threat of substitutes .

5. Threat from new entrants .

In the case given in the question , the correct answer would be 4. Threat of substitutes .