Many Small Firms Seek to Establish a Particular Niche in the Market

question 184

Multiple Choice

Many small firms seek to establish a particular niche in the market, realizing that they cannot afford to operate on a larger scale without exposing themselves to considerable risk of retaliation from larger companies. When a number of small businesses are operating in this manner, they are forcing the larger businesses to recognize and account for their influence on the market. In this way, small businesses are primarily

• A) fostering competition.
• B) providing technical innovation.
• C) creating jobs.
• D) satisfying the needs of other businesses.
• E) avoiding competition.

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Definitions:

Feasibility

The measure of how viable or possible it is to achieve a proposed project or plan, often assessed in terms of cost, time, resources, and technology.

Value Proposition

The unique value a product or service offers to customers, distinguishing it from competitors.

Revenue Streams

Different sources or methods through which a business generates income from its activities or assets.

Market Share

The portion of a market controlled by a particular company or product, often expressed as a percentage.