BUS 4993 BUSINESS CAPSTONE PROJECT
COMPREHENSIVE TEST 2026 QUESTIONS
WITH ANSWERS VERIFIED A+
◉ five forces model. Answer: a framework developed by Michael
Porter that identifies five forces that determine the profit potential
of an industry and shape a firm's competitive strategy
◉ threat of entry. Answer: the risk that potential competitors will
enter an industry
◉ entry barriers. Answer: obstacles that determine how easily a
firm can enter an industry. entry barriers are often one of the most
significant predictors of industry profit potential.
◉ competitive industry structure. Answer: elements and features
common to all industries, including the number and size of
competitors in an industry, whether the firms possess some degree
of pricing power, and the type of product or service the industry
offers
◉ perfect competition. Answer: fragmented and has many small
firms, a commodity product, ease of entry, and little or no ability for
each individual firm to raise its prices
,◉ monopolistic competition. Answer: many firms, differentiated
product, some obstacles to entry, and the ability to raise prices for a
relatively unique product while retaining customers
◉ oligopoly. Answer: few sellers, few large firms, differentiated
products, high barriers to entry, and some degree of pricing power
◉ monopoly. Answer: one seller in market
◉ exit barriers. Answer: obstacles that determine how easily a firm
can leave an industry
◉ complement. Answer: a product, service, or competency that adds
value to the original product offering when the two are used in
tandem
◉ complementor. Answer: a company that provides a good or
service that leads customers to value your firm's offering more when
the two are combined
◉ co-opetition. Answer: cooperation by competitors to achieve a
strategic objective
, ◉ industry convergence. Answer: a process whereby formerly
unrelated industries begin to satisfy the same customer need
◉ strategic group. Answer: the set of companies that pursue a
similar strategy within a specific industry
◉ strategic group model. Answer: a framework that explains
differences in firm performance within the same industry by
clustering different firms into groups based on a few key strategic
dimensions
◉ mobility barriers. Answer: industry-specific factors that separate
one strategic group from another
◉ core competencies. Answer: unique strengths, embedded deep
within a firm, that allow a firm to differentiate its products and
services from those of its rivals, creating higher value for the
customer or offering products and services of comparable value at
lower cost
◉ resources. Answer: any assets that a firm can draw on when
formulating and implementing a strategy
COMPREHENSIVE TEST 2026 QUESTIONS
WITH ANSWERS VERIFIED A+
◉ five forces model. Answer: a framework developed by Michael
Porter that identifies five forces that determine the profit potential
of an industry and shape a firm's competitive strategy
◉ threat of entry. Answer: the risk that potential competitors will
enter an industry
◉ entry barriers. Answer: obstacles that determine how easily a
firm can enter an industry. entry barriers are often one of the most
significant predictors of industry profit potential.
◉ competitive industry structure. Answer: elements and features
common to all industries, including the number and size of
competitors in an industry, whether the firms possess some degree
of pricing power, and the type of product or service the industry
offers
◉ perfect competition. Answer: fragmented and has many small
firms, a commodity product, ease of entry, and little or no ability for
each individual firm to raise its prices
,◉ monopolistic competition. Answer: many firms, differentiated
product, some obstacles to entry, and the ability to raise prices for a
relatively unique product while retaining customers
◉ oligopoly. Answer: few sellers, few large firms, differentiated
products, high barriers to entry, and some degree of pricing power
◉ monopoly. Answer: one seller in market
◉ exit barriers. Answer: obstacles that determine how easily a firm
can leave an industry
◉ complement. Answer: a product, service, or competency that adds
value to the original product offering when the two are used in
tandem
◉ complementor. Answer: a company that provides a good or
service that leads customers to value your firm's offering more when
the two are combined
◉ co-opetition. Answer: cooperation by competitors to achieve a
strategic objective
, ◉ industry convergence. Answer: a process whereby formerly
unrelated industries begin to satisfy the same customer need
◉ strategic group. Answer: the set of companies that pursue a
similar strategy within a specific industry
◉ strategic group model. Answer: a framework that explains
differences in firm performance within the same industry by
clustering different firms into groups based on a few key strategic
dimensions
◉ mobility barriers. Answer: industry-specific factors that separate
one strategic group from another
◉ core competencies. Answer: unique strengths, embedded deep
within a firm, that allow a firm to differentiate its products and
services from those of its rivals, creating higher value for the
customer or offering products and services of comparable value at
lower cost
◉ resources. Answer: any assets that a firm can draw on when
formulating and implementing a strategy
