The Most Important Strategy-Making Guidance That Comes from Drawing a Nine-Cell

question 22

Multiple Choice

The most important strategy-making guidance that comes from drawing a nine-cell industry attractiveness-competitive strength matrix is

• A) which businesses in the portfolio have the most potential for strategic fit and resource fit.
• B) why cash cow businesses are more valuable than cash hog businesses.
• C) that corporate resources should be concentrated on those businesses enjoying both a higher degree of industry attractiveness and competitive strength and that businesses having low competitive strength in relatively unattractive industries should be looked at for possible divestiture.
• D) which businesses have the biggest competitive advantages and which ones confront serious competitive disadvantages.
• E) which businesses are in industries with profitable value chains and which are in industries with money-losing value chains.

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Definitions:

Frequent Shopper

A customer who regularly purchases from the same retailer or brand, potentially benefiting from loyalty programs or discounts.

Award

Recognition given for achieving a specific accomplishment or meeting a particular criteria.

Key Revenue Drivers

Critical factors or activities that significantly influence a company's revenue generation capability.

Customers

People who populate the segments of a market served by the offering.