The Effectiveness of Any of the Generic Business-Level Strategies Is

question 58

Multiple Choice

The effectiveness of any of the generic business-level strategies is contingent upon:

• A) Customer needs and competitors' strategies
• B) The match between the opportunities and threats in its external market and the strengths of its internal environment
• C) The trends in the general consumer base and the robustness of the global and industry economy
• D) The firm's competitive scope and its competitive advantage

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Definitions:

Patents

Legal rights granted to inventors that prevent others from making, using, or selling an invention for a certain period of time.

Marketable Securities

Financial instruments that can be easily converted into cash because they have high liquidity and short maturities.

Financial Leverage

Employing the use of debt to boost the prospective profits of an investment, which in turn escalates the risk of experiencing a loss.

Debt-To-Equity Ratio

The ratio portraying the financial interplay between shareholder equity and debt in the capital structure for assets.