Which of the Following Statements Is True of Understanding an Industry

question 61

Multiple Choice

Which of the following statements is true of understanding an industry?

• A)If managers do not properly define and understand their industry, they may be vulnerable to unseen competitors.
• B)Truly understanding an industry often begins by taking a product-oriented view.
• C)Firms should avoid choosing to compete in several markets at the same time.
• D)Identifying an industry based on the product or service provided is the best way to understand the industry.

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Definitions:

Naïve Scientist

A concept in social psychology suggesting that individuals try to understand the social world using attribution processes similar to how a scientist would, making inferences and hypotheses based on observations.

Social Cognition

Cognitive processes and structures that influence and are influenced by social behaviour.

Social Behaviour

Actions and reactions exhibited by individuals within a social context, usually governed by societal norms.

Self-Image

An individual's mental concept of themselves, incorporating both how they see themselves and how they believe they are perceived by others.