Within a given industry, as competitors increasingly match each other in cost efficiencies and local responsiveness
A)They will be less affected by the bargaining power of suppliers.
B)Their rivalry naturally focuses on learning and innovation.
C) A geographic area division structure will become the most effective structure.
D) R&D activities and innovation become less and less important.

Question

Within a given industry, as competitors increasingly match each other in cost efficiencies and local responsiveness
A)​They will be less affected by the bargaining power of suppliers.
B)​Their rivalry naturally focuses on learning and innovation.
C) ​A geographic area division structure will become the most effective structure.
D) ​R&D activities and innovation become less and less important.

Quizplus · Accepted Answer

As competitors match each other in cost efficiencies and local responsiveness, the rivalry naturally shifts towards learning and innovation. This is because there are fewer opportunities for differentiation based on cost or location, so innovation becomes a key way to stand out and attract customers.

Within a Given Industry, as Competitors Increasingly Match Each Other