Exam 2: External Analysis: The Identification of Opportunities and Threats

Changes in the characteristics of a population,such as age or race,is irrelevant to the analysis of an industry's macroenvironment.

A market segment is a group of

Substitute products are not a threat if a company is the market leader.

When an industry enters the mature stage,

The level of industry demand

The Cott Corporation is an example of how a company failed to overcome barriers to entry in an industry.

In which of the following arenas would Walmart's Sam's Club stores compete against their closest,most intense rivals?

Even when entry barriers are very high,new firms may still enter an industry if they perceive that the benefits outweigh the costs of entry.

Julian is asked to examine the demographic environment facing his employer,a clothing manufacturer.Which of the following should Julian examine?

Eventually most industries enter a decline stage where

The industry life cycle model includes which of the following stages?

Due to a recent relaxation in pollution standards,Ford Motors is withdrawing its electric-powered cars from sales in the U.S.market.Ford is responding to a change in which of the following macroenvironmental forces?

Which of the following is not a component of Porter's five forces model?

If economies of scale are an industry's primary entry barrier,a new entrant's major risk is

Which of the following industry structures is dominated by a small number of large companies?

A group of firms all make writing implements¾pens,pencils,and markers.This group should be referred to as a(n)

Access to cheaper capital is an example of an economy of scale.

Why is it important to understand the external environment in order to think strategically?

Switching costs may arise when

The extent of rivalry among established companies is lowest when