When Attempting to Identify the Economic Characteristics of the Industry

question 39

Multiple Choice

When attempting to identify the economic characteristics of the industry in which a particular firm participates an analyst might ask which of the following questions?

• A) Does technological change play an important role in the firm maintaining a competitive advantage?
• B) Has the firm diversified across several geographic markets?
• C) Has the firm recognized revenues at the proper time?
• D) Has the firm structured transactions to make it look more profitable than economic conditions suggest?

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Definitions:

Nikola Khrushchev

A Soviet politician who served as the leader of the Soviet Union during part of the Cold War, known for initiating the de-Stalinization process and facing the Cuban Missile Crisis.

Tehran Conference

A strategy meeting of Joseph Stalin, Franklin D. Roosevelt, and Winston Churchill from 28 November to 1 December 1943, during World War II, held in Tehran, Iran, which focused on war strategy and post-war reorganization.

Yalta Conference

Meeting of Franklin D. Roosevelt, Winston Churchill, and Joseph Stalin at a Crimean resort to discuss the postwar world on February 4–11, 1945; Joseph Stalin claimed large areas in eastern Europe for Soviet domination.

Iron Curtain

Term coined by Winston Churchill to describe the Cold War divide between western Europe and the Soviet Union’s eastern European satellites.