The Industry-Based View Posits That the Degree of Competitiveness in an Industry

question 16

True/False

The industry-based view posits that the degree of competitiveness in an industry largely determines firm performance.

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Definitions:

Equilibrium Values

The set of prices or quantities in a market or economic model where supply equals demand, and no incentive exists for change.

Cyclical Industries

Industries in which sales tend to magnify cyclical changes in gross domestic product and national income.

Business Earnings

The profit made by a business over a period of time, indicating its financial performance and profitability.

Secondary Supply

The provision of goods or services from secondary markets or sources, distinct from primary or direct sources.