Which of the Following Is True About Disruptive Innovations

question 35

Multiple Choice

Which of the following is true about disruptive innovations?

• A) Most disruptive innovations are overnight sensations.
• B) Fast followers can easily imitate strategic resources based on disruptive innovations.
• C) Typically, a large group of customers embrace a disruptive innovation as it is launched.
• D) Disruptive innovations conflict with, and threaten to replace, traditional approaches to competing within an industry.
• E) Executives must have sufficient resources on hand to cope with the initial burst of demand for disruptive innovations.

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Definitions:

Revenue

An amount earned by performing services for customers or selling goods to customers; it can be in the form of cash or accounts receivable. A subdivision of owner’s equity: As revenue increases, owner’s equity increases.

Breakfast Department

A specific business unit within a hospitality organization that is responsible for managing and operating the breakfast service.

Cost Center

is a segment of a business that does not directly generate revenue but incurs costs, like a human resources department.

Generates Revenues

The process through which a business earns income from its normal operations, typically through the sale of goods and services.