30 Questions
What is the primary goal of both the multi-domestic strategy and the global strategy?
To meet the demands of the local market
Why is it important for an entrepreneur to be aware of the industry they are entering?
To take advantage of opportunities and succeed
What is the main purpose of a competitor analysis?
To understand the position of major competitors
What type of competitor presents similar products and services?
Direct competitor
What type of competitor presents close substitute products or services?
Indirect competitor
What is the first step in conducting a competitor analysis?
Know who the competitors are
What is an industry?
A group of businesses or companies producing similar products or services
What is the main purpose of industry analysis?
To determine whether the industry is accessible or realistic for a new venture
What are the two relevant trends for industry analysis?
Economic, social, technological, political, and regulatory trends
What is an example of a business that adapts to environmental trends?
Earth Kitchen, a restaurant offering organic catering
Why is it important for an entrepreneur to monitor market changes?
To ensure the products or services introduced will benefit the community
What is the outcome of production and provision of products and services in response to emerging market changes?
It will depend on the emerging changes in the market
What is the main reason why future competitors are important to consider?
Because they can adapt to market changes and become direct or indirect competitors
What is the purpose of the competitive analysis grid?
To collect and organize information about competitors
What is included in the competitor's overview when creating a competitive analysis grid?
Company's revenue, market share, size, management team, strengths, and weaknesses
What is the next step after having a competitor's overview in the competitive analysis grid?
Do market research
What can be a result of conducting a competitive analysis?
Knowing the company's stand against its competitors
What is the main benefit of knowing the competitors in a market?
To be able to offer something different to attract the market's attention
What is the primary purpose of analyzing rivalry among existing firms?
To know the industry profitability
How does the airline industry compete highly despite being profitable?
By competing highly in terms of cost to support fuel prices and equipment-related facilities
What is an effect of having numerous competitors in an industry?
Price reduction
How do ventures in a slow-growth industry tend to behave?
They lower their prices to attract consumers
What determines the nature and intensity of rivalry among existing firms?
Number and balance of competitors, and growth rate of the industry
How do industries with a high growth rate tend to behave?
They tend to attract consumers immediately
What is a method of primary market research?
Purchasing a competitor's product to study packaging and delivery experience
What is the purpose of creating a comparison matrix?
To compare competitive products and own products in terms of type and features
What is an example of secondary market research?
Reading company records
What can an entrepreneur use to analyze the position of a venture in an industry?
Competitor analysis report
Why is it important to know the competitors in an industry?
To differentiate oneself from other companies
What is NOT a method of primary market research?
Examining the current economic conditions
This quiz assesses your understanding of industry analysis, including determining the feasibility of a venture and identifying market opportunities. Learn about the importance of industry analysis in entrepreneurship and business development. Test your knowledge of industry analysis concepts and principles.
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