Which of the Following Responses of Firms to Disruptive Innovations

question 1

Multiple Choice

Which of the following responses of firms to disruptive innovations carries with it the risk of cannibalization of a firm's traditional business?

• A)Focusing on traditional mode of business
• B)Offering lower cost products or services
• C)Entering a strategic alliance with a global player
• D)Developing better product differentiation
• E)Matching the competitors' move

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Definitions:

Internal Locus

Refers to believing that one has control over their life events and outcomes as opposed to external forces.

Real-Life Example

An actual, practical instance or occurrence that illustrates or clarifies a principle, concept, or phenomenon, grounding theoretical discussions in everyday experience.

Learned Helplessness

A condition in which a person suffers from a sense of powerlessness, arising from a traumatic event or persistent failure to succeed, leading to diminished motivation and learning.

External Locus

The belief that one's successes or failures result from external factors beyond their control, as opposed to internal factors like effort and decision-making.