Both PERT Diagrams and Gantt Charts Are Useful to Managers

question 171

Multiple Choice

Both PERT diagrams and Gantt charts are useful to managers concerned with

• A) calculating the rate of profit earned in a particular market.
• B) making sure that projects are completed on time.
• C) estimating the cost of completing a project.
• D) establishing formal lines of authority and responsibility within an organization.

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Definitions:

Entry Barriers

Obstacles that make it difficult for new competitors to enter a market or industry.

Substitute Products

Products that can serve as replacements for one another; when the price of one increases, the demand for the substitute is likely to increase.

Herfindahl Index

A measure of market concentration used to evaluate the level of competition within an industry, calculated by summing the squares of the market shares of all firms in the industry.

Four-Firm Concentration Ratio

A measure of market concentration that indicates the combined market share of the four largest firms in an industry.