MGMT 408 CH. (3) QUESTIONS | VERIFIED ACCURATE
ANSWERS | 2026
In which of the following instances is the rivalry among competing sellers generally
weaker? - Answers -When there are so many rivals that any one company's actions
have little direct impact on the businesses of rivals and when rivals have low fixed costs
and low inventory storage costs
Which of the following are important considerations in evaluating whether an industry's
outlook is conductive to good profitability? - Answers -The industry's growth potential,
the anticipated strength of competitive forces, and whether the industry and the
company are being favorably or unfavorably impacted by macro-environmental factors
Which of the following statements about the market maneuvering for buyer patronage
that goes among rival sellers of a product or service is false? - Answers -While there is
constant jockeying among industry members to improve their market positions and
profits, the current market leaders have a 90% or better chance of continuing their
leadership and ultimately winning a sustainable competitive advantage over the other
industry contenders
Which of the following is not a typical competitive weapon that a company can use to
battle rivals and attract buyers? - Answers -Winning a bigger market share
In evaluating whether potential entry is a strong or weak competitive force, it is
important for company managers to consider - Answers -whether entry barriers are
high or low, the size of the pool or likely entry candidates and their resource capabilities,
the expected reaction of industry members in defending against new entry, and how
attractive the industry's growth and profit prospects are to potential entry candidates.
Competitive pressures stemming from the threat of entry are stronger when - Answers -
entry barriers are low, the pool of entry candidates is large, and existing industry
members are earning good profits
While doing the necessary detective work can be tedious and time-consuming, studying
the strategies and situation of rival companies (most especially close rivals) well enough
to be able to anticipate many of their next moves has the big advantage of - Answers -
enabling managers to prepare effective countermoves (perhaps to even beat a rival to
the punch) and take rivals' probable actions into account in crafting their own best
course of action
Driving forces analysis entails - Answers -identifying what the driving forces are,
assessing whether the drivers of change are, on the whole, acting to make the industry
more or less attractive, and determining what strategy changes are needed to prepare
for the impacts of the driving forces.
ANSWERS | 2026
In which of the following instances is the rivalry among competing sellers generally
weaker? - Answers -When there are so many rivals that any one company's actions
have little direct impact on the businesses of rivals and when rivals have low fixed costs
and low inventory storage costs
Which of the following are important considerations in evaluating whether an industry's
outlook is conductive to good profitability? - Answers -The industry's growth potential,
the anticipated strength of competitive forces, and whether the industry and the
company are being favorably or unfavorably impacted by macro-environmental factors
Which of the following statements about the market maneuvering for buyer patronage
that goes among rival sellers of a product or service is false? - Answers -While there is
constant jockeying among industry members to improve their market positions and
profits, the current market leaders have a 90% or better chance of continuing their
leadership and ultimately winning a sustainable competitive advantage over the other
industry contenders
Which of the following is not a typical competitive weapon that a company can use to
battle rivals and attract buyers? - Answers -Winning a bigger market share
In evaluating whether potential entry is a strong or weak competitive force, it is
important for company managers to consider - Answers -whether entry barriers are
high or low, the size of the pool or likely entry candidates and their resource capabilities,
the expected reaction of industry members in defending against new entry, and how
attractive the industry's growth and profit prospects are to potential entry candidates.
Competitive pressures stemming from the threat of entry are stronger when - Answers -
entry barriers are low, the pool of entry candidates is large, and existing industry
members are earning good profits
While doing the necessary detective work can be tedious and time-consuming, studying
the strategies and situation of rival companies (most especially close rivals) well enough
to be able to anticipate many of their next moves has the big advantage of - Answers -
enabling managers to prepare effective countermoves (perhaps to even beat a rival to
the punch) and take rivals' probable actions into account in crafting their own best
course of action
Driving forces analysis entails - Answers -identifying what the driving forces are,
assessing whether the drivers of change are, on the whole, acting to make the industry
more or less attractive, and determining what strategy changes are needed to prepare
for the impacts of the driving forces.
