Rivalry Among Competing Sellers Tends to Be Less Intense When

question 56

Multiple Choice

Rivalry among competing sellers tends to be less intense when

• A)industry conditions tempt competitors to use price cuts or other competitive weapons to boost unit sales.
• B)buyer demand is weak and many sellers have excess capacity and/or inventory.
• C)industry rivals are not particularly aggressive in drawing sales and market share away from rivals.
• D)rivals have diverse strategies and objectives,and are located in different countries.
• E)rival sellers have weakly differentiated products.

---

Definitions:

Useful Life

The estimated period over which an asset is expected to be usable by an organization, affecting its depreciation calculation.

Net Cash Inflow

The total amount of cash received minus the total amount of cash spent over a period.

Initial Investment

The initial amount of money spent to purchase an asset or start a project.

Annuities

Financial products that provide a series of payments over time, often used for retirement income.