A firm's "relevant market for finding opportunities" should:
A) be limited to products the firm already produces.
B) be bigger than the firm's present product-market-but not so big that the firm could not be an important competitor.
C) have no geographic boundaries.
D) be as large a possible.
E) be no larger than the firm's present product-market.

Question

Quizplus · Accepted Answer

A firm's relevant market for finding opportunities should be bigger than its present product-market but not so big that the firm could not be an important competitor. This allows the firm to expand its product offerings and potentially capture new customers, while still being able to compete effectively. The other options are too restrictive (A, E) or too broad (C, D).

A Firm's "Relevant Market for Finding Opportunities" Should