Why Is It Important for Companies to Achieve Competitive Advantage

question 70

Multiple Choice

Why is it important for companies to achieve competitive advantage?

• A) Competitive advantage guarantees a firm's long-term success.
• B) Competitive advantages are impossible to overcome or imitate.
• C) Competitive advantages help to improve financial returns.
• D) Competitive advantages are inexpensive ways to build market power.

Understand the concept and formulation of a research hypothesis as a predictive statement.

Understand the importance and process of job analysis in HR activities.

Comprehend the skills crucial for managing functional departments effectively.

Identify the essential components of job descriptions and job specifications.

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Definitions:

Elastic Demand

A situation where the demand for a product or service significantly changes in response to a change in its price.

Substitutes Availability

The presence of alternative products or services that consumers can turn to when the price of a good increases or its quality decreases.

Supply Curves

A graph that shows the relationship between the price of a good and the quantity of the good that suppliers are willing to offer for sale at that price.

Long-Run Supply

The relationship between the price of a product and the quantity of the product a firm is willing to supply, considering all inputs are variable and adjusting to new market conditions over time.