Companies Use Concentration Strategies to Grow Within an Industry

question 32

Multiple Choice

Companies use concentration strategies to grow within an industry. A company can use one, two, or all three as part of its effort to excel within an industry. Which of the following are concentration strategies?

• A) Market Penetration
• B) Market Development
• C) Product Development
• D) A & B
• E) A, B, & C

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Definitions:

Human Capital

The knowledge and skills that workers acquire through education and on-the-job training

Technology

The application of scientific knowledge for practical purposes, especially in industry and in the creation of goods and services.

Long Run

A period in which all factors of production and costs are variable, and firms can adjust all inputs and technology to reach a desired output level.

Output

The total amount of goods or services produced by a person, machine, business, or economy.