Which of the Following Statements Is a Drawback of Porter's

question 38

Multiple Choice

Which of the following statements is a drawback of Porter's 5-forces model?

• A) It cannot be used to evaluate the structural components of an industry.
• B) This tool is particularly not useful in helping managers decide where to focus.
• C) Evaluating the attractiveness of industries and developing business-level strategy is seldom possible.
• D) The 5-forces model typically looks at an industry at one point in time.

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Definitions:

Persistence

The quality of continuing steadfastly towards a goal despite obstacles or setbacks.

Direction

Guidance or instructions on the course or action to be taken, often aimed at achieving a specific goal or outcome.

Intensity

Intensity describes the degree of strength, power, or force of an action, emotion, or in a physical sense, often indicating the magnitude or seriousness of a phenomenon.

Collectivism

A cultural value that prioritizes group goals over individual goals and emphasizes the importance of cohesion within social groups.