When Japanese Carmakers Attacked the Existing U

question 85

Multiple Choice

When Japanese carmakers attacked the existing U.S.automobile market by first offering small fuel-efficient cars,and then leveraging their low-cost and high-quality advantages into high-end luxury segments,they were engaging in

• A) regressive innovation.
• B) radical innovation.
• C) disruptive innovation.
• D) architectural innovation.

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Definitions:

Saving

The portion of income that is not spent on consumption but is kept aside for future use, investments, or emergencies.

Disposable Income

Income remaining after deduction of taxes and social security charges, available to be spent or saved as one wishes.

Consumption Spending

The total money spent by households in an economy on goods and services.