A Firm Will Choose to Compete Across Multiple Segments Rather

question 56

Multiple Choice

A firm will choose to compete across multiple segments rather than specialize in a single segment if:

• A)It is a publicly-listed company that than a family owned company
• B)The same resources and capabilities can be deployed in different segments
• C)Segments are defined by distinct socio-economic groups of customers
• D)Barriers to mobility are high.

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Definitions:

Effective Capacity

The maximum output rate or service capacity an operation, process, or facility can be expected to achieve under normal conditions.

Design Capacity

The maximum output or performance level that a facility or product is engineered to achieve under ideal conditions.

Capacity Alternatives

Various options available to a business for adjusting its capacity to meet changes in demand.

Market Acceptance

The degree to which a new product, service, or innovation is embraced by potential customers or end-users in the marketplace.