BSG Exam Prep (New 2024/ 2025 Update) Questions and Verified Answers| 100% Correct Grade A
QUESTION
Whether buyer bargaining power poses a strong
... [Show More] or weak source of competitive pressure on industry members depends in part on
Answer:
the price sensitivity of buyers, whether buyer switching costs are high or low, and how well informed buyers are about the product offerings of industry members.
QUESTION
Which of the following is NOT one of the five important "outer-ring" components of a company's macro-environment?
Answer:
the industry's profit outlook
QUESTION
The best test of whether potential entry is a strong or weak competitive force is whether
Answer:
the industry's growth and profit prospects are strongly attractive to potential entry candidates.
QUESTION
Using the five-forces model of competition to determine what competition is like in a given industry involves
Answer:
building the picture of competition in three steps: (1) identifying the specific competitive pressures associated with each of the five competitive forces; (2) evaluating how strong the pressures comprising each competitive force are; and (3) determining whether the collective strength of all five competitive forces is conducive to high/good industry profitability.
QUESTION
The bargaining leverage of suppliers is stronger when
Answer:
there are no good substitutes for the items being furnished by the suppliers and there are only a few "preferred" suppliers of a particular input.
QUESTION
Which one of the following generally does NOT act to weaken the rivalry among competing sellers?
Answer:
industry conditions that tempt rivals to use price cuts or other competitive weapons to boost unit sales.
QUESTION
Potential entrants are more likely to be deterred from actually entering an industry when
Answer:
industry incumbents are willing and able to launch strong defensive maneuvers to maintain their positions and make it harder for a newcomer to compete successfully and profitably.
QUESTION
Which of the following are most UNLIKELY to qualify as driving forces?
Answer:
mounting competition from substitutes, increasing efforts on the part of industry members to collaborate with suppliers, and the speed with which the number of industry key success factors is either rising or falling.
QUESTION
Which one of the following conditions acts to intensify the competitive pressures associated with the threat of entry?
Answer:
a general belief on the part of entry candidates that industry members are unwilling or unable to strongly contest the efforts of newcomers to gain a market foothold.
QUESTION
Whether an industry presents a company with good prospects for attractive growth and profitability
Answer:
hinges in part on such considerations as the industry's growth potential, the anticipated strength of competitive forces, whether the company is strongly or weakly positioned on the industry's strategic group map, and whether and to what degree industry profitability will be favorably or unfavorably affected by the industry's driving forces.
QUESTION
which of the following is NOT a typical competitive weapon that a company can use to battle rivals and attract buyers? [Show Less]