Management 350 Chapter 7
The _______ stage in the industry life cycle is where firms' sales and profits begin a falling trend.
decline
__________________ is the extent to which a product or service is like another.
degree of similarity
An imitative strategy is an overall strategic approach in which _____________________.
an entrepreneur does more or less what others are already doing
________________ is a strategy based on creating a new product or service which has no competitors.
blue ocean strategy
A ______________ is a way to think about the line of distribution of a product from its start as raw materials to the finished goods into the hands of customers.
business supply chain
A firm's __________ is the particular way it implements customer benefits that keeps the business ahead of others in the industry.
competitive advantage
A ___________ is any other business in the same industry as yours.
competitor
An __________ is an opportunity that makes it possible for a new business to gain a foothold in a market.
entry wedge
A ___________ strategy is a generic strategy that targets a portion of the market.
focus
_________ is what is left after deducting the cost of goods sold.
gross profit
The ________ stage of the industry life cycle is where customer purchases increase at a dramatic rate.
growth
______________________ is an overall strategic approach in which a firm patterns itself on other firms, with the exception of one of two key areas.
incremental innovation
The ______________ is the general name for the line of product or service being sold or the firms in that line of business.
industry
_____________ is a research process that provides an entrepreneur with key information about the industry, such as its current situation and trends.
industry analysis
______________ are changes in competitors, sales, and profits in an industry over time.
industry dynamics
A _________ strategy is an overall strategic approach in which a firm seeks to do something that is very difficult from what others in the industry are doing.
innovative
The ______________ is the post tax income an entrepreneur personally seeks from a business.
magic number
A __________ is the business term for the population of customers for the business' product or service.
market
__________ is the actions of a business related to promoting and selling products or services.
marketing
A ___________ market is a customer group that involves large portions of the population.
mass
The ____________ stage of the industry life cycle is the third stage, which is marked by a stabilization of demand, with firms in the industry moving to stabilize or improve profits through cost strategies.
maturity
______________ is the money left after operating expenses are deducted from a business.
net profit
A __________ market is a narrowly defined segment of the population that is likely to share interests or concerns.
niche
__________ competition is an imitative business that competes locally with others in the same industry.
parallel
_____________ is the process of creating new products or services, which result in a previously unseen product or service.
pure innovation
The ___________ stage of the industry life cycle is when established firms must find new approaches to improve the business and its chances for survival.
retrenchment
The ____________ is a characteristic of a market that describes the market's size.
scale
A characteristic of a market that defines the geographic range covered by the market, from local to global is called the _________.
scope
_________ actions are competitive responses requiring a major commitment of resources.
strategic
______________ are competitive responses with low resource requirements.
tactical actions
A company's ____________ is its unique selling points that customers can expect when they purchase its goods or services.
value proposition
The __________ strategy is one of three generic strategies that is aimed at clarifying how one product is unlike another in a mass market.
differentiation