You Are the President of a New, Capital-Rich Firm and You

question 50

Multiple Choice

You are the president of a new, capital-rich firm and you must decide on your firm's targeting approach. Three large subgroups exist in your market that have never had their unique needs served. If you don't act now, others will seize the opportunity. What should you use?

• A)a multisegment strategy
• B)a single product with a concentrated strategy
• C)a product differentiation strategy
• D)a concentrated or niche targeting strategy

---

Definitions:

Invoice Terms

Invoice Terms specify the conditions under which a sale is conducted, including payment deadlines, early payment discounts, and penalties for late payment.

n/30

A payment term indicating that an invoice is due within 30 days after the invoice date, with no discount for early payment.

Periodic Inventory

A method of inventory valuation in which the inventory is physically counted at specific intervals, and the cost of goods sold is calculated at the end of the accounting period.

Physical Count

A procedure conducted to verify the actual quantity of items or materials present in inventory, typically performed at the end of an accounting period.