Janna Discovers a Market Segment That Is Underserved by Competitors

question 35

Multiple Choice

Janna discovers a market segment that is underserved by competitors' products. For Janna's company, this segment represents a _____.

• A) business threat
• B) business opportunity
• C) backward linkage
• D) test market

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Definitions:

LIFO Method

Last In, First Out method; an inventory valuation method where the last items placed in inventory are the first ones to be used or sold.

Rising Prices

An economic condition characterized by an increase in the cost of goods and services over time, affecting purchasing power.

Average Costing

A method of inventory costing that determines the cost of goods sold and ending inventory value by calculating a weighted average of all costs for goods available for sale.

LIFO

Last In, First Out, an inventory valuation method where the most recently produced items are recorded as sold first.