One of the Main Reasons the Internet Is Eroding Sustainable

question 40

Multiple Choice

One of the main reasons the Internet is eroding sustainable competitive advantages is that _______.

• A) incumbent firms are entering market segments that they previously considered to be too small
• B) nearly all competitors will have greater access to tools for managing costs
• C) differentiators have been able to preserve their unique advantages
• D) firms are ignoring opportunities to offer high-end services in niche markets

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Definitions:

Moral Hazard

The risk that one party to a contract can change their behavior to the detriment of another after the contract has been concluded.

Health Care Insurance

Insurance that finances the medical and surgical expenses for the individual covered under the policy.

Associated

Often used to describe things or entities that are connected or linked with each other in some way.

Health Care Market

The aggregate of providers, consumers, and organizations related to the production, distribution, and consumption of health and medical care services.