The competitive threat that outsiders will enter a market is weaker when
A. the pool of entry candidates is large and some have resources that would make them formidable market contenders.
B. newcomers can be expected to earn attractive profits.
C. buyers have little loyalty to the brands and product offerings of existing industry members.
D. the industry's market growth is rapid.
E. financially strong industry members send strong signals that they will launch strategic initiatives to combat the entry of newcomers.
Answer: C
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Indicate whether the statement is true or false
[The following information applies to the questions displayed below.] Assume the perpetual inventory system is used. 1) Green Company purchased merchandise inventory that cost $64,000 under terms of 2/10, n/30 and FOB shipping point. 2) Green Company paid freight cost of $2,400 to have the merchandise delivered. 3) Payment was made to the supplier on the inventory within 10 days. 4) All of the merchandise was sold to customers for $94,000 cash and delivered under terms FOB destination with freight cost amounting to $1,600. What is the net cash flow from operating activities that results from these transactions?
A. $66,720 outflow B. $94,000 inflow C. $31,280 inflow D. $27,280 inflow
Trend extrapolation involves
A. selecting specific points on a graph of sales or market share, multiplying by the cost of living index, and allowing for a variation of plus or minus 3%. B. selecting a given percentage and using that number as a yearly predictive base regardless of changes in sales, revenue, or market share. C. averaging the total sales or market share for the previous 5 years and multiplying that number by the expected GDP growth rate for the next year (say 1.5%) to arrive at the next year's forecast. D. collecting projections from all regional sales managers and making the final projection. E. extending a pattern observed in past data into the future.
Accountants provide financial information to various parties so they can make business decisions.
Answer the following statement true (T) or false (F)