Which of the Following Statement Is Incorrect Regarding the "Core

question 17

Multiple Choice

Which of the following statement is incorrect regarding the "core strategy" component of a firm's business model?

• A) A firm's core strategy describes how it competes relative to its competitors.
• B) The product a firm chooses has little impact on its core strategy and business model.
• C) A company's product/market scope defines the products and markets on which it will compete.
• D) From a broad perspective firms typically choose one of two generic strategies: cost leadership or differentiation.
• E) The generic strategy a firm chooses greatly affects its business model.

---

Definitions:

Null Hypothesis

The default hypothesis that there is no effect or no difference, and any observed effect is due to sampling variability.

Type I Error

The probability of rejecting the null hypothesis when it is actually true, also known as a false positive.

Type II Error

A statistical mistake of failing to reject a false null hypothesis; also known as a false negative.