Which of the Following Is Not Descriptive of a High

question 80

Multiple Choice

Which of the following is not descriptive of a high level of bargaining power of suppliers?

• A) Substitutes are readily available.
• B) The product or service is unique.
• C) The supplier industry is dominated by a few companies, but sells too many.
• D) The purchasing industry buys only a small portion of the supplier group's goods and services.
• E) Suppliers are able to integrate forward and compete directly with their present customers.

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Definitions:

Diversification

A risk management strategy that mixes a wide variety of investments within a portfolio to minimize the impact of any single asset's performance.

Product Development

The process of bringing a new product to market, involving idea generation, concept testing, design, manufacturing, and marketing.

Market Development

A growth strategy in which a company seeks to expand its existing product into new markets or geographic areas to increase its customer base.

Market Penetration

A gauge of the level of sales or acceptance of a product or service in relation to the complete potential marketplace for it.