Identify a True Statement About the Role of Quality in Gaining

question 67

Multiple Choice

Identify a true statement about the role of quality in gaining a competitive advantage.

• A) Quality is unrelated to return on investment for most kinds of market situations.
• B) A strategy of quality improvement is usually accompanied by increased short-run profitability.
• C) Producers of high-quality goods usually charge low prices.
• D) Businesses offering premium-quality goods usually have large market shares.

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Definitions:

Joint Venture

A business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task.

New Market

Refers to an undiscovered or underexploited segment in the marketplace that a company can target to expand its customer base.

Strategic Alliance

A collaborative relationship between independent firms, though the partnering firms do not create an equity partnership; that is, they do not invest in one another.

Globally-Based Opportunity

A chance or prospect for business, investment, or collaboration that is available on an international scale.