Which of the Following Firms Would Likely Pose the Least

question 107

Multiple Choice

Which of the following firms would likely pose the least competitive threat?

• A) a firm in the same industry and in the same strategic group
• B) a competitor to your product where a high switching cost exists
• C) a firm that produces substitute goods to your product line
• D) a firm in the same industry and in the nearest strategic group looking to join your group

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Definitions:

Intended Beneficiary

An individual or entity explicitly chosen to benefit from a contract, even though they are not a direct party to the agreement.

Incidental Beneficiary

A third party who benefits from a contract between two other parties, even though the benefit was not the contract’s primary purpose or intention.

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