Fuchsia Inc., a cosmetics manufacturer, decides to change how it competes in the market. With this objective in mind, it decides to target a different market segment with its existing set of products. However, Fuchsia takes a long time to reconfigure its activities and systems to meet these changes. Which of the following is being exemplified in this case?
A)Mobility barrier
B)Product differentiation
C)Customer bias
D)Tasks disintermediation

Question

Quizplus · Accepted Answer

A mobility barrier refers to the difficulty that firms face as they attempt to reconfigure their activities and systems in response to changing market conditions. In this case, Fuchsia Inc. is taking a long time to reconfigure, indicating that it is facing a mobility barrier. The other options are not relevant to the situation described in the case.