A strategic group is
A) a group of firms pursuing the same or similar strategy with similar resources.
B) a group of firms pursuing the different strategy with similar resources.
C) a group of firms pursuing the same strategy with different resources.
D) a group of competitors that fight against each other.

Question

Quizplus · Accepted Answer

A strategic group is a group of firms pursuing the same or similar strategy with similar resources. This allows them to be compared against each other and for analysts to better understand the industry dynamics. B and C are both incorrect as they involve firms pursuing different strategies or having different resources. D is also incorrect as it refers to competitors in general, rather than a specific group with similar strategies and resources. Strategic group is a group of firms pursuing the same or similar strategy with similar resources.

A Strategic Group Is