If Dunkin Donuts (DD)were to Follow the Actions of Starbucks

question 39

Multiple Choice

If Dunkin Donuts (DD) were to follow the actions of Starbucks and copy all of their strategies and pricing,DD could be described as a(n) _____.

• A) defender
• B) prospector
• C) reactor
• D) analyzer
• E) coordinator

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Definitions:

Income Disparity

The uneven distribution of income across different groups within a society.

First Mover

A company that gains a competitive advantage by being the first to market with a new product or service.

Theory of Absolute Advantage

An economic theory proposed by Adam Smith, which suggests that countries should specialize in the production of goods for which they have an absolute advantage.

Theory of Comparative Advantage

An economic principle stating that countries or entities benefit from specializing in and exporting goods for which they have a lower opportunity cost.