Harold is the owner of a beer cafe in his locality.His beer cafe is not the only one in the area.In order to improve business, Harold decides to make a few changes to his cafe.He installs state-of-the-art music system, a karaoke machine, and a snooker table in his cafe.Customers flock to his cafe every evening because it is the only cafe in the locality with these facilities.Which of the critical steps involved in conducting an external analysis has helped Harold improve his business?
A)Defining the customers
B)Examining and developing insights about elasticity of demand
C)Developing an understanding of the competitive advantage
D)Drawing a set of competitive maps

Question

Quizplus · Accepted Answer

Developing an understanding of the competitive advantage has helped Harold improve his business. Harold was able to identify that the other beer cafes in the area did not have state-of-the-art music systems, karaoke machines, and snooker tables. This gave Harold a competitive advantage over his competitors and attracted more customers to his cafe.

Harold Is the Owner of a Beer Cafe in His