Exam 6: Business Level Strategy and the Industry Environment

Tom tends to be ignorant about technological advancements.He was reluctant to own a smartphone even when they were well-established and familiar in the market.However,Thomas slowly got used to the idea of a smartphone when his job demanded him to be connected to the office network all the time.Thomas is most likely to fall under which of the following categories of customers?

Which of the following factors that affect market growth rates refers to the degree to which a new product is perceived as difficult to understand and use?

The real estate industry is comprised of different firms in several locations.Some are independent and popular locally,while others are affiliated to national chains.The real estate industry is most likely to be a(n):

Competitive intensity in a declining industry is greatest when:

A company uses _____ when it focuses on pockets of demand that are declining more slowly than the industry as a whole to maintain profitability.

The first group of customers to enter the market for a new product are called:

One strategy used to consolidate fragmented industries is:

Firms sometimes pursue a chaining strategy to:

Most embryonic industries arise from:

Horizontal mergers often lead to industry fragmentation.

A fragmented industry is one composed of a:

A fragmented industry is composed of a large number of small and medium-sized companies.

Market development strategy involves finding new market segments for a company's products.

Franchisees essentially pursue independent strategies and do not use the business model of the franchisor.

Which of the following customer groups represents the leading wave or edge of the mass market?

In his book Crossing the Chasm,Geoffrey Moore discusses some of the issues involved in marketing technologically new products as markets develop through different stages.What customer groups does Moore identify as critical to the movement into mass market and what must companies do if they are to successfully cross the chasm?

A harvest strategy requires the company to halt all new investments in capital equipment,advertising,research and development,and other activities that require cash flow.

Both innovators and early adopters are customers in the market while the industry is in its embryonic stage.

Music CDs and newspaper sales have been falling as users turn to the Internet for their music and news.Which of the following is NOT a strategy for companies in these declining industries?

Through chaining,companies increase their buying power,which allows them to negotiate large price reductions with their suppliers,which in turn promotes their competitive advantage.