A strategic group is a group of companies within a particular industry
A) with the same overhead costs.
B) with the same cost structure.
C) that are pursuing a similar business model.
D) that are using the same suppliers.
E) all of these choices.

Question

Quizplus · Accepted Answer

A strategic group consists of companies that share similar business models, such as similar target markets, pricing strategies, and product differentiation strategies. While companies within a strategic group may have similar overhead costs and cost structures, these factors are not the defining characteristic of a strategic group. The use of the same suppliers may also be a factor within a strategic group, but it is not a necessary condition.

A Strategic Group Is a Group of Companies Within a Particular