Fran owns Consolidated Auto Parts, a company that got its start making auto parts related for hybrid vehicles, but her firm has had difficulty establishing itself as a maker of parts for the more-profitable internal combustion engine. What is most likely contributing to Consolidated's problem in this area?
A) Newcomers cannot use existing assets or reconfigure their value chains.
B) New competitors usually ignore stakeholders who are not stockholders.
C) It is difficult for outsiders to gauge which stage of the "life cycle" that industry is in.
D) Entry barriers usually protect the incumbent players in a profitable industry.

Question

Quizplus · Accepted Answer

One of the challenges that strategic leaders face is that often the most attractive industries in terms of profitability are also the hardest to break into because they are protected by entry barriers.

Fran Owns Consolidated Auto Parts, a Company That Got Its