The Best Approach for a Company to Take When Monitoring

question 38

Multiple Choice

The best approach for a company to take when monitoring its competitors is

• A) watching for increases and decreases in competitors' prices and matching them.
• B) analyzing all information that is readily available about competitors.
• C) sending employees to competitors' offices and factories to observe their actions.
• D) developing a system for gathering ongoing information about competitors.
• E) reading important business publications such as The Wall Street Journal.

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Definitions:

Hypothesized Value

A specific value proposed as existing or being true within the context of a statistical hypothesis test.

Null Hypothesis

A default statement that indicates no effect, difference, or relationship between two or more variables in an experiment.

Alternative Hypothesis

The hypothesis that is tested against the null hypothesis, usually representing the notion of a difference or effect.

Type I Error

Erroneously dismissing a true null hypothesis, often called a "false positive."