External analysis chapter 4
Which of the following statements are true about developing a competitive map
It is a step in the external analysis it should be developed by the entrepreneurs it's purpose is to better understand competitors and the capabilities
Reliable industry specific information can be found in which of the following sources
Magazines The Internet journals
Which one statement about fragmented markets is true
Most entrepreneurial business is competing in a fragmented market
naics is an acronym meaning which of the following
North American industry classification system
Which of the following statements regarding exact or direct competitors are correct
Often direct competitors are geographically local Direct competitors can easily be found in the local telephone book identifying direct competitors is easy when entrepreneurs are clear regarding their customers needs
Which of the following are criteria that should be considered in developing a competitive map
Quality and availability of parking pricing of products facility square footage
A product that customers are willing to pay virtually any price for has a very inelastic demand
A competitive map is an analytical tool that organizes information about direct competitors and all points of competition
What is a key to effective opportunity recognition by entrepreneur
A detailed understanding of the external environment
What are the following is a good example of a source where an opportunity may come from
A personal frustration New technological advancement A vacancy at the perfect location for a business
Investments and businesses that are not easy recovered or considered
An exit barrier
An example of substitute for playing soccer might be which of the following
Boating playing tennis playing handball
Elasticity of high demand is
Customer's response to price changes
When entrepreneurs can easily exit in industry the intensity of an industry competition tends to
Decrease in the threat posed by new entrance is reduced
Which of the following is the first step in understanding the nature of external environment
Defined the business industry
in developing a competitive map entrepreneur should
Determine key competitive factors they wish to understand
Customer to shop online
Don't really care where they order things from
Identify critical steps in examining the nature of an external environment of a business
Draw a set of competitive maps research the competitors within the industry that one expects to do business research the industry and which one expects to do business
A reasonable distance is determined by
The entrepreneur
Which of the following is the first step in understanding the nature of the external environment
To find a business industry
An important part of competitors analysis is getting an understanding of the industry
Trends