_____ Refers to a Process by Which a Product, Service

question 117

Multiple Choice

_____ refers to a process by which a product, service, or business model takes root initially in simple applications at the bottom of a market and then moves "up market," eventually displacing established competitors.

• A) Reverse mentoring
• B) Concentric diversification
• C) Strategic liquidation
• D) Disruptive innovation
• E) Crowdsourcing

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Definitions:

Merchandising Company

A business that purchases finished goods for resale, aiming to make a profit without changing the form of the goods.

Cost of Goods Sold

The direct costs related to the production of the goods that a company sells, including materials and labor.

Indirect Manufacturing Cost

Costs that are not directly traceable to specific units produced, such as utilities or rent for manufacturing facilities.

Relevant Range

The scope of activity within which the assumptions about fixed and variable cost behaviors hold true.