The Competitive Environment Consists of

question 91

Multiple Choice

The competitive environment consists of

• A) The firm and its rivals, suppliers, customers (buyers), new entrants, and substitute or complementary products.
• B) Only those organizations on which the focal organization to provide supplies and materials.
• C) The workers of the organizations that complete the organization's activities.
• D) The organizations that hold the firm accountable to their stakeholders.
• E) The broader influences that affect a firm's competitive advantage.

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Definitions:

Index

A statistical measure of change in a representative group of individual data points, often used in finance to track the performance of markets or sectors.

Stock Split

A corporate action where a company divides its existing shares into multiple shares, effectively reducing the price of an individual share for investors while keeping the overall market capitalization the same.

Value-Weighted Index

An stock index in which each component is weighted according to its market value.

Price-Weighted Index

A stock market index in which each company's stock is included in proportion to its share price, meaning higher-priced stocks have more influence on the index's performance.