Identify a True Statement About Understanding the Five Forces That

question 11

Multiple Choice

Identify a true statement about understanding the five forces that shape industry competition.

• A)It helps to perceive wider competitive threats and be better prepared to address them.
• B)It helps firms have a product-oriented view in defining their industry.
• C)It helps a company strategist predict the industry a competitor might enter and hence avoid that industry.
• D)It helps a company strategist understand that the five forces are rigid and hence plan the business strategy accordingly.

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Definitions:

T-account

A simplified accounting tool used to understand the effects of transactions on individual accounts, visually structured as a 'T'.