Which of the Following Statements Is True of the Blue

question 6

Multiple Choice

Which of the following statements is true of the blue ocean strategy?

• A)It disrupts an existing market by displacing an earlier technology.
• B)It relies on its existing knowledge of products to improvise on new features.
• C)It uses low-end disruptive innovations to compete in the market.
• D)It creates new demand in an uncontested market space.

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Definitions:

Overapplied

A situation where the overhead costs applied to products or services exceed the actual overhead costs incurred.

Adjusted Cost of Goods Sold

The cost of goods sold after adjustments for changes in inventory levels and other factors affecting cost of goods sold.

Year

A period of 365 or 366 days, in the Gregorian Calendar, divided into 12 months, used for calculating time.

Net Operating Income

The total profit of a business after operating expenses are subtracted from gross profit but before taxes and interest are deducted.