The power of suppliers is mitigated as various limitations exist. For example, there is a strong presence of suppliers in the market as a result of the entry of foreign entities into the market driven by the forces of globalization. Another obstacle that diminishes the bargaining power of suppliers is the lack of differentiation – in most cases – when it comes to raw materials. Thus, the lack of differentiation and the abundance of foreign competitors lead to threats of substitution from automakers and strong competition among suppliers. However, suppliers gain relative power over automakers if they have differentiated their products, likely on quality and based on the importance of raw materials like steel in production.