The same environmental trend or event may have a very different impact on different strategic groups within the same industry.

Question

Quizplus · Accepted Answer

Strategic groups are helpful in thinking through the implications of each industry trend for the strategic group as a whole. Such analysis can help in making predictions about industry evolution. A sharp increase in interest rates, for example, tends to have less impact on providers of higher-priced goods (e.g., Porsches) than on providers of lower-priced goods (e.g., Chevrolet Cobalt) whose customer base is much more price sensitive.

The Same Environmental Trend or Event May Have a Very