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Question
Which of the following statements regarding substitutes is accurate?
A) In the extreme, substitutes can ultimately replace an industry's products or services.
B) Substitutes place a floor on the prices firms in an industry can charge and on the profits firms in an industry can earn.
C) Substitutes rarely impact the profitability that firms in an industry can earn.
D) The importance of substitutes in reducing the profit potential in a wide variety of industries is decreasing.
Answer
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Related questions
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The ________ consists of broad trends in the context in which a firm operates that can have an impact on a firm's strategic choices.
A) micro-environment
B) general environment
C) task environment
D) internal environment
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________ measures of competitive advantage compare a firm's level of return to its cost of capital instead of to the average level of return in the industry.
A) Economic
B) Accounting
C) Strategic
D) Sustainable
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A competitive advantage that lasts a very short period of time is known as a ________ competitive advantage.
A) temporary
B) sustained
C) transient
D) perpetual
Q:
The difference between the perceived benefits gained by a customer who purchases a firm's products or services and the full economic costs of these products or services is known as
A) accounting value.
B) comparative value.
C) economic value.
D) sustainable value.
Q:
When a firm is able to create more economic value than rival firms it is said to have a(n)
A) comparative advantage.
B) competitive advantage.
C) strategic choice.
D) economic advantage.
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________ occurs when a firm adopts organizational policies and practices that are consistent with its strategy.
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B) Organizational change
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Identify the conditions under which a strategic alliance can be rare and discuss the role that complementary resources can play in the rarity of strategic alliances.
Q:
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A) high.
B) low.
C) moderate.
D) uncertain.
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A) competitive position.
B) competitive advantage.
C) distinctive competence.
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A) facilitating the development of technology standards.
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Q:
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Q:
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