In Identifying an Industry's Key Success Factors,strategists Should

question 38

Multiple Choice

In identifying an industry's key success factors,strategists should

• A)try to single out all factors that play a major role in shaping whether buyer demand grows rapidly or slowly.
• B)consider on what basis customers choose between competing brands,what resources and competitive capabilities firms need to be competitively successful,and what shortcomings are almost certain to put a company at a significant competitive disadvantage.
• C)consider whether the number of strategic groups is increasing or decreasing and whether the five competitive forces are powerful or relatively weak.
• D)consider what it will take to overtake the company with the industry's overall best strategy.
• E)focus their attention on what it will take to capitalize on impacts of the industry's driving forces.

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Definitions:

Statement of Comprehensive Income

A financial statement that shows all changes in equity during a period except those resulting from investments by and distributions to equity investors.

Voting Shares

Shares that grant the holder the right to vote on company matters, such as electing the board of directors or making decisions affecting the company's policies.

Shareholders' Equity

The residual interest in the assets of an entity after deducting liabilities, essentially representing the owners' equity in a corporation.

Equity Method

An accounting technique used to record investments in subsidiary companies, where the investment's value is adjusted over time to reflect the investor's share of the subsidiary's profits or losses.