Exam 4: Exploring the External Environment: Macro Industry and Dynamics

One implication of industry analysis is that firms perform best when they select a strategy that deviates from the industry environment.

In the mature phase of the industry life cycle, ________.

There are four major categories of factors that reveal whether an industry has globalized. They are market, cost, government, and ________.

Some industries are dynamic simply because of ________.

In the decline phase of the industry life cycle, ________.

When there is perfect competition, relatively heterogeneous products are offered by different firms.

The PESTEL analysis helps managers gain a better understanding of ________.

Globalization has occurred in many industries because ________.

A viable substitute for Coke and Pepsi's industry would be ________.

High entry barriers lead to higher prices and higher levels of average profitability.

What goals can be achieved by predicting competitors' behaviors?

Competition is fierce in the soft drink industry. As a result, higher degrees of rivalry result in lower levels of average industry ________.

Industrial organization (I/O) economics is a discipline that helps managers analyze an industry.

A pattern of evolution followed by an industry from inception to current and potential future states is called a(n) ________.

Examples of government pressures favoring industry globalization are favorable trade policies and ________,

Give three examples of economic factors.

High research and development costs, interdependent countries, and common marketing regulations represent pressures that would discourage industry globalization.

Industry characteristics that contribute to entry barriers include all but which of the following?

What are the three steps involved in the PESTEL analysis?

Price competition tends to be more intense when the industry is a secondary industry for the major competitors in that industry.